Name Address/P.O. Box Postal Code/City Country Contact Person Telephone Email Website Areas of Activity Request for Further Collaborations
BNY Mellon
US Offerings Using Depositary Receipts (DRs)
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240 Greenwich Street New York, NY 10286 USA David Stueber +44 207 163 5220 david.stueber@bnymellon.com www.bnymellon.com
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Depositary Receipts
More than 251 non-US biotechnology & healthcare companies have their equity securities traded on US markets in the form of DRs. The unique investor base, combined with the quality and depth of research coverage in the US is an important driver of this activity. Given the sector’s importance, BNY Mellon has developed specialised expertise to meet the needs of companies. For investor relations support, management reporting and transactions, and corporate action servicing, BNY Mellon is the leading depositary bank.
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Assisting issuers with accessing US capital markets
Specific benefits of utilising DRs for a US listing A US-listed DR is the primary capital markets tool used by many non-US companies to list and/or raise equity capital in the US These exchange-listed, capital-raising DRs obtain maximum visibility and liquidity. In connection with a potential US listing, while listing an ordinary share in the US may be possible, the benefits of the simplicity, flexibility, and lower cost provided by the DR structure offer numerous advantages. These advantages are the reason why a DR programme is a valued alternative for non-US companies listing in the US, even in the case of a single market listing. DRs are an accepted, proven, and economic way for non-US companies to access US capital markets. The establishment of a DR programme (verses the US listing of ordinary shares) does not require any changes or require any reconciliation with current local administrative, governance, and registration procedures. US regulatory requirements are the same for an ordinary share or DR, but the administrative burden for a foreign ordinary share listed in the US is higher than that of a DR. A DR programme is simpler.
