Canadian Stocks/old stock certificates
QUESTION: I have found a certificate for shares with Norite Explorations Limited purchased from Asta Corporation Limited, Toronto, Ontario, in the year of 1962 amongst papers of a deceased relative. Can you tell me anything about them or who to contact? You help is greatly appreciated. Thank you
ANSWER: Marg, from the information I have available, the shares have no current value. The Company had two reverse splits (3 for 100 and 1 for 3) and multiple name changes and ended as Cercal Minerals. Cercal ran into serious financial difficulty in 1994 and was suspended, delisted, and cease-traded in 1994/1995. Those cease-trade orders remain in effect today, which suggests they were never able to raise enough money to correct their problems.
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QUESTION: After this length (twenty years) of time. I would say the company will probably never come back. What do you do with the certificates? Do you turn them in to someone? Could we please have contact information? Or would it be a good idea to have them transfered into our name and hold onto them? Amy recommendation would be appreciated.
Thank you for your time.
Marg, you are correct. After 20 years, there is really no chance the company will ever return. If a company is going to fix the problems that resulted in this kind of cease-trade order, they will do it within a year or two. I haven't seen a company reinstated with those kinds of problems after about 5 years. And, you can't have them transferred to your name as there is no transfer agent out there. The Company is defunct, and once they stop paying the transfer agent, they stop acting for the Company.
You can just go ahead and destroy the certificate. Although there are some collectors of old certificates out there, this one is unlikely to have much, if any, value since it is not old or rare. There are a lot of old Cercal and Cercal predecessors out there.