TSE introduces stricter listing requirements

Under rules revised to eliminate inactive or poorly performing listings, resource companies trading on the Toronto Stock Exchange must boost minimum exploration or development budgets by $100,000, to $350,000, and record sales of at least $3 million, up from $1 million.

Companies will also be bound by stricter disclosure requirements, as recommended earlier this year by the Mining Standards task force.

Companies also must now have a minimum market capitalization of $3 million, with publicly floated shares valued at at least $2 million. They must also be in control of assets worth a minimum of $3 million, up from $2 million, and have revenues of at least $3 million, up from $1 million.

Companies that don’t conform to the new requirements will be given 120 days to do so, and the market will be given 30 days notice of pending suspensions.

The new regulations are part of the pending restructuring of Canadian equities markets sometime next year.