UCASU Announces NASDAQ or NYSE uplisting in 2022
UC Asset LP (OTCQX: UCASU) announced its intention to uplist to a major exchange, likely NASDAQ or NYSE American, within 12 to 18 months. Management highlighted that the company has been quoted on OTCQX for two years and has experienced increased trading activity. For 2021, UC Asset project net gains of $0.10 - $0.15 per share with plans for a dividend of at least $0.10 per share. However, they acknowledge the need to double or triple their size to justify the uplisting, aiming for a market cap of at least $20 million. A secondary public offering is anticipated within the year.
- Seeking to uplist to major exchanges within 12 to 18 months.
- Consistent positive investment returns since formation in 2016.
- Projected net gains of $0.10 - $0.15 per share for 2021.
- Plans for a dividend of at least $0.10 per share.
- Current size too small to justify an uplisting.
- Larger exchange listings will significantly increase administrative costs.
- Need to reach a market cap of at least $20 million to uplist.
ATLANTA, Jan. 3, 2022 /PRNewswire/ -- In the first business day of 2022, UC Asset LP (OTCQX: UCASU) management announces that the company is seeking to "uplist" to a major exchange; probably NASDAQ small cap or NYSE American, in the next 12 to 18 months.
Currently, UC Asset is quoted on OTCQX, which is branded as the "best market" among OTC markets operated by the OTC Market Group Inc. The premium section of OTCQX holds a listing requirement very similar to small cap sections of major exchanges such as NASDAQ or NYSE.
"Except for our size, we believe we have met the criteria and there are numerous factors that point to our firm being a likely candidate to be listed on a major exchange," says Larry Wu, founder of UC Asset.
"First, we have been quoted on OTCQX for two full years. Particularly, we have gained an unprecedented amount of attention from investors over the past several months, as our shares have started being actively traded. Secondly, we voluntarily filed Form 10 in late 2020 to become a fully-reporting company. For the full year of 2021, we have been filing quarterly to ensure our disclosure meet the criteria of major exchange's requirements," Wu explains.
"Thirdly, our company has consistent positive investment returns for every year since our formation in 2016. Our worst year was 2020, due to the COVID pandemic, but we still managed to break even with a small but noticeable gain. We had a good year in 2021 and projected
However, Wu admits that the company is currently too small to justify an uplisting, as a major exchange listing will be more expensive, and will remarkably increase administration cost. Those extra cost will be difficult for a small company like UC Asset to absorb.
"In order to have a meaningful uplisting, we need to increase the size of the company to at least
"Fortunately, our management team has an established strategy to growth. We have identified deal pipelines with great potential, mostly of cannabis properties, for a potential portfolio expansion of
For this purpose, UC Asset plans to file S-1 to start a secondary public offering within the year. The company has not decided on the specifics of its secondary public offering, but management says that the size of its secondary public offering will likely range between
"At this moment our shares are constantly traded around or above
Before its secondary public offering, the company will seek strategic investors to complete one or more rounds of private placement. Bankston expects that the private placement will be offered at a price considerably lower than its planned public offering price, and, in the next few months, the company will be open-minded to discuss potential private placements with any accredited investors.
"We have been very disciplined in issuing shares to private investors," says Bankston. "Our total issued shares have actually decreased in the past two years since our IPO, from over 5.6 million shares to less than 5.5 million shares, and we have only one round of preferred shares outstanding which can be converted into less than 170,000 common shares. In short, the supply of our shares are very limited, and we have adequate room to issue shares to support our growth plan."
About UC Asset LP
UC Asset LP is a limited partnership formed for the purpose of investing in real estate with innovative strategies, concentrating in metropolitan areas of Atlanta, GA. For more information about UC Asset, please visit: www.ucasset.com
Disclaimer:
This News Release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause our actual results, performance or achievements, or industry results, to differ materially from any these statements. You are cautioned not to place undue reliance on any those forward-looking statements. Except as otherwise required by the federal securities laws, we undertake no obligation to publicly update or revise any forward-looking statements after the date of this news release. None of such forward-looking statements should be regarded as a representation by us or any other person that the objectives and plans set forth in this News Release will be achieved or be executed.
For More Information Contact:
Christal Jordan | Executive Director, UC Asset LP
cjordan@ucasset.com | 678-499-0297
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SOURCE UC Asset LP
FAQ
What is UC Asset's plan for uplisting?
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