NYSE TO SUSPEND TRADING IMMEDIATELY IN LANNETT COMPANY, INC. (LCI) AND COMMENCE DELISTING PROCEEDINGS
Lannett Company, Inc. (LCI) announced on April 20, 2023, that the New York Stock Exchange (NYSE) will suspend trading of its common stock and initiate delisting proceedings due to the company's failure to maintain an average global market capitalization of at least $15 million over a 30-day period. Trading will shift to the over-the-counter market starting April 20, 2023, while retaining the ticker symbol LCI. The NYSE will apply to the SEC for delisting, and Lannett does not plan to appeal the decision. The company is engaged in negotiations with key secured creditors for a potential deleveraging transaction, expecting to reach an agreement in the near term, although no assurances can be given regarding the timing or terms of such transactions.
- Engaged in negotiations for a potential deleveraging transaction with key secured creditors.
- Expecting to reach an agreement with creditors in the near term.
- Suspension of trading on the NYSE indicates serious financial distress.
- The company is at risk of delisting from the NYSE due to low market capitalization.
- No assurance of successful completion of negotiations with creditors.
Company Expects No Impact on Operations
Negotiations with Key Secured Creditors Progressing Toward a Balance Sheet Strengthening Transaction
The NYSE suspended trading in the Company's common stock immediately after market close on
The NYSE will apply to the
The Company continues to engage in active discussions with key secured creditors regarding a potential deleveraging transaction, as previously announced. While the Company cannot provide any assurance as to if or when it will consummate any such transactions or the terms of any such transactions, the Company expects to be able to reach an agreement with its key secured creditors in the near term on such a transaction.
About
Forward Looking Statements:
This press release contains forward-looking statements which are not historical facts made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not promises or guarantees and investors are cautioned that all forward-looking statements involve risks and uncertainties, including but not limited to the impact of competitive products and pricing, product demand and market acceptance, new product development, acquisition-related challenges, the regulatory environment, interest rate fluctuations, reliance on key strategic alliances, availability of raw materials, fluctuations in operating results, the impact of the delisting, including under the indenture governing our convertible notes, the impact of failure to pay interest when due on our debt, the ability to implement a recapitalization, restructuring or similar transaction and the terms of such a transaction, the impact if any recapitalization, restructuring or similar transaction is implemented under applicable bankruptcy laws, including Chapter 11 of the
The information in this press release should be read in conjunction with information in the Company's filings with the
Contact: | |
View original content to download multimedia:https://www.prnewswire.com/news-releases/nyse-to-suspend-trading-immediately-in-lannett-company-inc-lci-and-commence-delisting-proceedings-301802729.html
SOURCE
FAQ
What led to Lannett Company (LCI) being delisted from the NYSE?
When will Lannett Company's stock start trading over the counter?
Is Lannett Company appealing the NYSE's delisting decision?
What are the potential outcomes of Lannett's negotiations with secured creditors?