Case Studies Of Companies Going Public On CNQ – Canada’s New Stock Exchange

Case Study #1
Initial Public Offering through a Prospectus Offering

Hi Ho Silver Resources Inc. | CNQ Symbol – HIHO
Industry:  Metals and Minerals
Start of Trading:  August 31st, 2000
Initial Financing Raised:  $525,000
Additional Funds Raised:  $480,000

Hi Ho Silver Resources Inc. submitted a preliminary Offering Prospectus on May 9th, 2006 to the Alberta, British Columbia and Ontario Securities Commissions to offer a minimum of 2,500,000 common shares at $0.15 per share for net proceeds of $375,000 to a maximum of 3,500,000 common shares at $0.15  for net proceeds of $525,000.

The Final Offering Prospectus was accepted by the Provincial Securities Commissions on July 27, 2006 and Hi Ho Silver Resources Inc. raised the maximum offering of $525,000.

Hi Ho Silver Resources Inc. submitted their application for listing on CNQ and began trading on August 31, 2006. 

To learn more about HIHO and their stock market listing go to Hi Ho Silver Resources Inc. Profile Page on CNQ – Canada’s New Stock Exchange.

"During my listing process with the CNQ and my dealings with its representatives, I can honestly say I have nothing but praise for the efficiency and help they have provided throughout.

I was first introduced to CNQ at the PDA a couple years ago and was intrigued by this new exchange and was encouraged by two brokers who helped underwrite HI HO Silver to forge ahead with bringing a new company public.

I have absolutely no regrets and truly feel it is really the only true venture exchange currently in Canada and look forward to a long and fruitful relationship with the CNQ and to bring additional new listings onboard as well. Thanks!” -  Fred Fisher, Hi Ho Silver Resources Inc.

Case Study #2
Existing Listed Company transferring to CNQ

Calstar Oil & Gas Ltd| CNQ Symbol – CALS
Industry:  Oil & Gas
Start of Trading:  August 9th, 2006
Initial Financing Raised:  $600,000

Calstar Oil & Gas Ltd was given conditional approval to list on the Canadian Venture Exchange, the predecessor of the TSX Venture Exchange, on December 11, 2000 and was granted full approval on February 28, 2001.  The Company voluntarily delisted from the TSX Venture Exchange on June 12, 2006.  Calstar Oil & Gas Ltd started trading on the CNQ stock market on August 9th, 2006.

To learn more about CALS and their stock market listing go to the Calstar Oil & Gas Profile Page on CNQ – Canada’s New Stock Exchange. 

"I realized that the CNQ would fill a huge gap in the Canadian Junior Issuer market.  The TSX Venture market, in my opinion, had become more focused on the Tier 1 and Tier 2 stocks and companies have to  focus on maintaining their listing rather than focus on doing business and building value for their shareholders.

The senior staff at CNQ have all been approachable on an instant basis and I can expect an answer to any query on the same day, not rely on setting up a committee meeting in the next week or so and have to bring along my counsel (at a huge expense).

In summation, I recommend that any colleagues or Associates that ask, to make application for listing on the CNQ over the TSX Venture Exchange." - Ted K. Cantlon, President & CEO, Calstar Oil & Gas Ltd.

Case Study #3
Company going public through a Reverse Take Over – RTO

Petrol One Corporation | CNQ Symbol – PONE
Industry:  Oil & Gas
Start of Trading:  November 13th, 2006
Initial Financing Raised:  $4,300,000

Petrol One Corporation was formerly a listed company on CNQ called International Zimtu Technologies Inc.  A reverse take-over was initiated on International Zimtu Technologies Inc. on September 1st, 2006 and on November 13th, 2006 the RTO was completed and Petrol One Corporation commenced trading on the CNQ stock market.

To learn more about PONE and their stock market listing go to the Petrol One Corp. Profile Page on CNQ – Canada’s New Stock Exchange.

"Our company's experience with CNQ has been excellent from the beginning.  We received all of the guidance we needed to become public from a truly courteous and customer-oriented staff.  Throughout the listing process, the people at CNQ were knowledgeable and helped our team every step of the way. We are pleased with our listing on this stock exchange, and look forward to a mutually beneficial relationship for years to come." -  Dave Hodge, Director, Petrol One

Case Study #4
Company going public through an Amalgamation

Biosign Technologies Inc. 

CNQ Symbol - BIOS

Industry: Technology

Start of Trading:  August 21, 2006

Initial Financing Raised:  $6,000,000

Biosign amalgamated with an inactive former Capital Pool
Company (CPC) on the TSX Venture Exchange that had been unable to
complete its required qualifying transaction within the prescribed time
limits and had been delisted from the TSX Venture Exchange. Biosign Technologies Inc. of Toronto completed its “going public” transaction on CNQ through a reverse take-over transaction.   The advantage for Biosign in completing the amalgamation with the former company was that regardless of the delisting it remained a "reporting issuer", which enabled it to list quickly and easily on CNQ - Canada’s New Stock Exchange.  As part of the amalgamation transaction and CNQ listing, Biosign was able  to complete a $6,000,000 private placement financing. 

"Biosign in the health market is about standards, transparency, disclosure and interoperability and we saw the same commitment at CNQ for our financial market.  There are no broker sponsor requirements nor arbitrary rules and procedures - the listing criteria is the listing criteria - what you see is what you get.  This resonates with us in a world where clear strict criteria sets the tone for globalization of products and services.  So for us there was a certainty of completing the transaction in an orderly fashion which wouldn't distract us from our business execution.  For our shareholders it provided a marketplace where they not only could effect auction market trading but could see all the regulatory filings and press releases as well as our CNQ monthly reports to help them keep up with our progress." - Richard Potts, CEO, Biosign Technologies Inc.

To learn more about BIOS and their stock market listing go to the Biosign Technologies Inc. Profile Page on CNQ – Canada’s New Stock Exchange.

Case Study # 5
Initial Public Offering through a Prospectus Offering

Vital Resources Corp. | CNQ Symbol - VITL
Industry: Oil & Gas
Start of Trading: April 24, 2006
Initial Financing Raised:  $450,000
Additional Financing Raised:  $1,957,000

Vital Resources filed a preliminary prospectus offering with the Alberta, British Columbia and Ontario Securities Commissions on November 16, 2005.  It received final approval on March 31, 2006 and Vital Resources started trading on CNQ on April 24, 2006.  In addition to the Initial Public Offering of $450,000, Vital has raised an additional $1,957,000 through private placements.

To learn more about VITL and their stock market listing go to the Vital Resources Inc. Profile Page on CNQ – Canada’s New Stock Exchange.

“When I first spoke to CNQ management about listing as a public company on their exchange it was with some trepidation. I was soon reassured that this really is an exchange where the companies they list come first. No time consuming listing process, no onerous requirements going forward, and the cost was negligible. All in all, a great value proposition for any company seeking access to the capital markets.” -  Michael Whitehead, CEO, Vital Resources

Case Study #6
Public Company transferring to CNQ

VisionSky Corp. | CNQ Symbol – VSKY
Industry: Business Services
Start of Trading:  March 1st, 2006
Initial Financing Raised: FUNDED AT TIME OF LISTING
Additional Financing Raised: $1,245,000

VisionSky Corp was originally K45 Capital Corporation, a Canadian Capital Pool Company (CPC) on the TSX Venture Exchange which had completed its qualifying transaction.

VisionSky Corp. voluntarily delisted from the TSX Venture Exchange on January 20th, 2006 and began trading on CNQ on March 1st, 2006.  Since listing on CNQ VisionSky Corp has raised over $1.2 million in expansion capital.

To learn more about VSKY and their stock market listing go to the VisionSky Corporation Profile Page on CNQ – Canada’s New Stock Exchange.

"Being in a competitive environment was one reason we decided to list on CNQ.   With CNQ you can focus on building your business without high costs and paperwork associated with other exchanges.   The CNQ staff were very accommodating and processed our listing application quickly and efficiently." - Preston Maddin, CEO, VisionSky Corp.