Hermitage Offshore Services Ltd. Announces Suspension of Trading from the NYSE and OTC Listing
Hermitage Offshore Services Ltd. announced the suspension of its common stock trading on the NYSE due to a failure to meet the minimum market capitalization of $15 million over 30 trading days. The delisting hearing is set for December 17, 2020. Following this, the Company’s stock will trade on OTC Pink under the ticker 'HOFSQ', a significantly less liquid market. Hermitage Offshore, which filed for Chapter 11 bankruptcy on August 11, 2020, faces uncertainties about its ability to continue operations and the potential value of its common shares post-bankruptcy.
- The Company has the right to appeal the NYSE's delisting decision.
- The common stock has been suspended from the NYSE due to market cap issues.
- Trading will move to OTC Pink, potentially leading to reduced liquidity.
- The Company filed for Chapter 11 bankruptcy, raising doubts about its going concern status.
- No assurance of equity value remains post-bankruptcy proceedings.
HAMILTON, Bermuda, Sept. 23, 2020 (GLOBE NEWSWIRE) -- Hermitage Offshore Services Ltd. (“Hermitage Offshore,” or the “Company”) announced today that it has received notification from the New York Stock Exchange (“NYSE”) that the Company’s common stock has been suspended from trading on the NYSE as it has fallen below the NYSE’s continued listing standard requiring listed companies to maintain an average global market capitalization over a consecutive 30 trading day period of at least
Commensurate with the suspension of trading from the NYSE, the Company expects that its common stock will be quoted on the OTC Pink marketplace ("OTC Pink"), operated by the OTC Markets Group Inc., effective Thursday, September 24, 2020 under the ticker symbol “HOFSQ”. The OTC Pink is a significantly more limited market than the NYSE, and the quotation of the Company’s common stock on the OTC Pink may result in a less liquid market available for existing and potential shareholders.
As previously disclosed, the Company and its subsidiaries filed voluntary petitions for reorganization under Chapter 11 of the Bankruptcy Code on August 11, 2020. The Company continues to believe that there is significant doubt as to its ability to operate as a going concern following the bankruptcy proceedings, and can make no assurance that it will be successful in its appeal of the decision of the NYSE to delist the securities or that there will be any equity value in its common shares at the conclusion of the Chapter 11 process.
About the Company
Hermitage Offshore Services Ltd. is an offshore support vessel company that owns 21 vessels consisting of 10 platform supply vessels, or PSVs and 11 crew boats. The Company’s vessels primarily operate in the North Sea and the West Coast of Africa. Additional information about the Company is available at the Company’s website www.hermitage-offshore.com, which is not a part of this press release.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
Matters discussed in this press release may constitute forward‐looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward‐looking statements in order to encourage companies to provide prospective information about their business. Forward‐looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “target,” “project,” “likely,” “may,” “will,” “would,” “could” and similar expressions identify forward‐looking statements.
The forward‐looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although management believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond the Company’s control, there can be no assurance that the Company will achieve or accomplish these expectations, beliefs or projections. The Company undertakes no obligation, and specifically declines any obligation, except as required by law, to publicly update or revise any forward‐looking statements, whether as a result of new information, future events or otherwise.
Important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward-looking statements include the strength of world economies and currencies, general market conditions, including fluctuations in charter rates and vessel values, changes in demand in the offshore support vessel (“OSV”) market, changes in charter hire rates and vessel values, demand in OSVs, the length and severity of the recent novel coronavirus (COVID-19) outbreak, the results of the Company’s Chapter 11 bankruptcy proceedings, the results of the Company’s appeal of the NYSE’s delisting determination, the impact of over-the-counter trading on the price and liquidity of the Company’s common stock, the Company’s operating expenses, including bunker prices, dry docking and insurance costs, governmental rules and regulations or actions taken by regulatory authorities as well as potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, the availability of financing and refinancing, vessel breakdowns and instances of off-hire and other important factors described from time to time in the reports filed by the Company with the Securities and Exchange Commission.
Contacts:
Hermitage Offshore Services Ltd.
+377 9798 5717 (Monaco)
+1 646 432 3315 (New York)
Web-site: www.hermitage-offshore.com
FAQ
What led to Hermitage Offshore Services Ltd.'s stock suspension on the NYSE?
When is the hearing for Hermitage Offshore's delisting appeal scheduled?
What will happen to Hermitage Offshore's stock trading after NYSE suspension?
What implications does Chapter 11 bankruptcy have for Hermitage Offshore investors?
