Dual listing uses shares that are not traded yet but are in the Company's capital ( not all the share capital is in the market.. and there are several reasons for that...). now more shares will be tranded, more shares will be purchased and held by shareholders, more interest by share holders institutions etc... the share price in tel aviv will go up because the share will be bought by entities who will have to buy the shares, this will cause the u.s share price to rise accordingly.... you will be surprised to see how the share will rweact next week....
Thanks, fellows, for the input. Either I'm dense or the air here is thin, but it seems to me that the shares to be traded on TASE will NOT be coming from the available NYSE float. As DR shares to be traded in Israel, some local Israeli financial house will have to acquire NYSE shares, and it will be a representation of this hoard that will trade on TASE.
I doubt that these DR shares are being gathered from those shares already circulating in NY. Rather, I expect they come from a private placement, either from the Frost or Hurvitz stash or the shelf-shares that PLX has (shares outstanding 80.88M - float of 42.15M). If so, it won't reduce the NY share supply and the rally we are currently seeing is mostly due to high spirits.
The company has not be forthcoming of late with significant information so I am not surprised that we are scratching for answers.
That being said, there's lots to be spirited about regarding the prospects of Protalix and opening a new outlet for canned shares in Israel should not diminish the value of NYSE shares.