By Brazil Stock Guide – Cosan SA (B3: CSAN3; NYSE: CSAN) notified the New York Stock Exchange of its intention to voluntarily delist its American depositary shares, according to a company statement issued Tuesday (Aug. 18).
The decision follows approval by Cosan’s board on Aug. 14 and continues the process outlined in a material fact notice released that day. Each American depositary share represents four Cosan common shares.
Cost reduction and capital structure
Cosan said the move is part of an effort to simplify and optimize its capital structure, reduce costs and focus on its most strategically relevant businesses.
The company will retain the listing of its common shares on the Novo Mercado segment of B3 SA — Brasil, Bolsa, Balcão. Trading in the shares is largely concentrated on the Brazilian exchange.
Form 25 filing planned for September
Cosan expects to submit Form 25 to the U.S. Securities and Exchange Commission on Sept. 8. Based on that timetable, the last trading day for its ADSs on the NYSE would be Sept. 18.
The company cautioned that the schedule is only an estimate and depends on the completion of all required steps.
Reporting obligations to continue
Cosan will remain registered under the U.S. Securities Exchange Act of 1934 and will continue to meet its reporting obligations under the law after the NYSE delisting.
The company said it has not arranged for the ADSs to be listed, quoted or registered on another stock exchange or quotation system.
Cosan also reserved the right to postpone the filings, withdraw them before they take effect or otherwise change its plans for the delisting process.
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