The Israeli cannabis company InterCure Ltd. (NASDAQ: INCR) (TSX: INCR.U) (TASE: INCR) will soon be delisting its shares from the Toronto Stock Exchange over a lack of trading volume.
InterCure announced that its board of directors had voted to delist on Monday after concluding that continued listing on the TSX does not benefit the company or its shareholders. The cannabis distributor applied to be delisted at the end of the trading session on August 14 this year and will continue trading on the Nasdaq exchange and Tel Aviv Stock Exchange.
The company’s application is yet to be approved by the Toronto Stock Exchange and InterCure says Canadian brokers will have no issues trading its shares on the Nasdaq exchange instead.
In Q1 this year, InterCure reported a 22 per cent year-over-year (YoY) increase in revenue to $40 million but generated $734,000 less gross profit and had $2.9 million more general and administrative expenses than Q1, 2022.
The company’s adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) dropped by 34.15 per cent or $6.8 million YoY in Q1 to $13.1 million.
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InterCure announced in April that it would be cultivating, marketing and distributing products from Mike Tyson’s cannabis brand Tyson 2.0 throughout Israel, Switzerland, the United Kingdom, Germany and other countries in the European Union.
The company’s Chairman Ehud Barak was later featured in an interview with Fox Business on May 15 with Tyson to discuss the partnership and InterCure’s other recent activity.
Other Israeli cannabis companies include Cannbit Tikun-Olam Israel (TASE: TKUN) and Panaxia (TASE: PNAX).
InterCure’s shares shot up significantly on Monday by 16.79 per cent to $2.38 on the Toronto Stock Exchange. However, they have dropped by approximately 50 per cent since the beginning of the year when they were valued at about $4.65.
rowan@mugglehead.com
