THQ Facing Stock Exchange Delisting

THQ could be delisted from the NASDAQ stock exchange due to poor share performance. THQ’s shares have failed to go above the $1 mark for 30 consecutive days.

According to Chapter 10, Section 1 of NASDAQ’s rules “..an Options Participant that is in such financial or operating difficulty that NASDAQ Regulation determines that the Options Participant cannot be permitted to continue to do business as a Participant with safety to investors, creditors, other Options Participants, or NOM, may be summarily suspended.”

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That basically means that if a company that trades on NASDAQ is in trouble financially, all trading activity will be stopped unless the company can improve its fortunes. THQ has until July 23rd to boost its shares prices above $1 and hold the price above that figure for 10 consecutive days.

Even if THQ fails in that regard,  the company can still appeal to not be delisted, though they have to give a number of good reasons why delisting should not happen.

THQ was rumoured to have cancelled its 2014 line up but that was refuted. However, THQ did announce that it was shuffling business to make improvements. Yesterday it was rumoured that staff had been laid off in THQ Australia’s office and the THQ Japanese office was being closed.

Source: MCV/NASDAQ

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7 Comments

  1. Damn, THQ are really falling down the plughole here.

  2. $1 a share? Surely if we all chip in we can launch a takeover…

    • I’d rather not take on their debt.

  3. A sign to call it a day I reckon

  4. how they built-up so much debt? O.o?

  5. Not good news – THQ may not be the biggest, but they have got some damn good titles under their belt, so this is a shame to read.

    It’s not ‘the end’ of course, but it’s not a good sign.

  6. Please don’t affect Warhammer…

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