Capital Pool Company (TSX Venture)
Definition of 'Capital Pool Company (TSX Venture)'A new, fledgling company trading on Canada's TSX Venture exchange that has no commercial operations and no assets except for cash. A capital pool company (CPC) uses its cash holdings to evaluate promising businesses or assets that it would acquire in a qualifying transaction, which it has to complete within 24 months of listing. Companies trading as a CPC have a "P" after their ticker symbol. The completion of the qualifying transaction would enable the CPC to list as a standard Tier 1 or Tier 2 issuer on the TSX Venture exchange. |
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Investopedia explains 'Capital Pool Company (TSX Venture)'A CPC that cannot complete its qualifying transaction within the prescribed time limit of 24 months of listing may be at risk of a trading suspension or delisting from the TSX Venture exchange. A CPC trading on the TSX Venture exchange can be identified by the ".P" added to its trading symbol.The TSX Venture exchange's CPC program is a unique offering that connects individuals who have financing and directorial experience with entrepreneurs whose early-stage companies need capital and management expertise. |
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