Noventa (LON:NVTA) shares are set to benefit from more liquid trading on London’s AIM market, as the securities began trading on SETS (Stock Exchange Trading System).
The London Stock Exchange’s flagship order-driven trading system offers much wider direct trading, rather than the market-maker driven quote system.
On SETS electronic orders can be placed on the order book by members of the stock exchange and shares can be traded directly between members, rather than indirectly via a handful of market makers.
From an investor's perspective SETS trading offers greater price visibility and it can potentially improve execution, by removing the middle-man in a transaction.
Over the past year with a new management team, Noventa has turned around the fortunes of its Marropino tantalum mine in Mozambique.
The mine restarted operations in April and by August Noventa announced that tantalum recovery had increased significantly over historic levels, reaching 51%. Prior to May 2009, the mine achieved recovery rates between 30% and 35%.
Noventa is looking to take advantage of growing demand and declining production of tantalum, which is used in the manufacturing of capacitors for mobile phones, motherboards and audio and video equipment.
Its strategic plan aims to raise plant production at Marropino to more than 500,000lbs of tantalum from 300,000 lbs.
As the company’s operational performance improves and the company gains increased interest, Noventa has been working to appeal to a broader investor base.
In addition to its move to SETS Noventa is also set to add a dual-listing with an application to join the Toronto Stock Exchange.
The listing on the TSX is anticipated in the final quarter of the current year.
Last week Noventa hired Canaccord Genuity as joint broker to support the dual-listing.
“I believe the addition of Canaccord Genuity Limited as joint broker will bring added value and expertise to the company”, chairman Eric Kohn said.