Nasdaq Temporarily Suspends Delisting Regulations - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
News

Nasdaq Temporarily Suspends Delisting Regulations

The suspension, which will last until Jan. 2, 2002, is effective immediately.

Nasdaq has taken unprecedented action to help companies cope with a foundering market. The tech-heavy exchange's board of directors has for the first time temporarily suspended the $1 minimum bid price, as well as its requirement that a certain portion of shares in each stock be available for purchase by public investors. The suspension, which will last until Jan. 2, 2002, is effective immediately.

Nasdaq officials say they want to give struggling companies a second chance in a downtrodden market further devastated by the Sept. 11 attacks that left parts of New York's financial district in ruins. Nasdaq Spokesman Michael DeMeo says getting delisted is "a major event" for a company because of the uncertainties it raises. "The grace period allows [companies facing delisting] to refocus their business, and hopefully a lot will come back improved on Jan. 2," says DeMeo.

Companies that were facing delisting now will have a clean slate for the rest of the year. Regardless of where they were in the process, companies that had been sent delisting notices will be able to proceed as if they had never received them.

As if the sluggish economy hadn't already battered stock prices enough, the values of many Nasdaq listings have plummeted further since Sept. 11. Everything from halted air travel to waning consumer confidence has impacted share prices.

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
State of the Cloud
State of the Cloud
Cloud has drastically changed how IT organizations consume and deploy services in the digital age. This research report will delve into public, private and hybrid cloud adoption trends, with a special focus on infrastructure as a service and its role in the enterprise. Find out the challenges organizations are experiencing, and the technologies and strategies they are using to manage and mitigate those challenges today.
Slideshows
Top-Paying U.S. Cities for Data Scientists and Data Analysts
Cynthia Harvey, Freelance Journalist, InformationWeek,  11/5/2019
Slideshows
10 Strategic Technology Trends for 2020
Jessica Davis, Senior Editor, Enterprise Apps,  11/1/2019
Commentary
Study Proposes 5 Primary Traits of Innovation Leaders
Joao-Pierre S. Ruth, Senior Writer,  11/8/2019
Register for InformationWeek Newsletters
Video
Current Issue
Getting Started With Emerging Technologies
Looking to help your enterprise IT team ease the stress of putting new/emerging technologies such as AI, machine learning and IoT to work for their organizations? There are a few ways to get off on the right foot. In this report we share some expert advice on how to approach some of these seemingly daunting tech challenges.
White Papers
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Sponsored Video
Flash Poll