Regis Announces Intent to Appeal NYSE Determination to Commence Proceedings to Delist Regis’ Common Stock

Rhea-AI Summary

Regis Corporation (RGS) will appeal the NYSE’s decision to delist its common stock. The company plans to present its compliance plan at the hearing and explore other listing options. Regis common stock is expected to continue trading on the NYSE during the appeal.

Positive

• None.

Negative

• Regis Corporation is facing the risk of delisting from the NYSE due to non-compliance with the applicable listing standard, which could impact investor confidence and liquidity of the stock.

MINNEAPOLIS--(BUSINESS WIRE)-- Regis Corporation (NYSE: RGS), a leader in the haircare industry, will be appealing the NYSE’s decision to commence proceedings to delist Regis’ common stock from the New York Stock Exchange (“NYSE”) within the required timing. Regis looks forward to presenting its plan of compliance at the hearing, and in the interim, will continue to evaluate all available listing options. While Regis intends to appeal, NYSE reserves the right under subsequent committee review to determine that trading in Regis common stock should be suspended.

During this time, Regis common stock has not been suspended from trading and is expected to continue to be listed and traded on the NYSE while any appeal remains pending.

NYSE Regulation has determined that Regis was unable to demonstrate that it had regained compliance with the applicable listing standard by the expiration of the maximum plan period. As previously disclosed, Regis had been deemed below compliance with the NYSE’s continued listing standard in Section 802.01B of the Listed Company Manual requiring listed companies to maintain either (i) at least $50 million in stockholders’ equity or (ii) at least $50 million in total market capitalization on a 30-trading day average basis.

About Regis Corporation

Regis Corporation (NYSE:RGS) is a leader in the haircare industry. As of September 30, 2023, the Company franchised or owned 4,811 locations. Regis’ franchised and corporate locations operate under concepts such as Supercuts^®, SmartStyle^®, Cost Cutters^®, Roosters^® and First Choice Haircutters^®. For additional information about the Company, including a reconciliation of certain non-GAAP financial information and certain supplemental financial information, please visit the Investor Relations section of the corporate website at www.regiscorp.com.

This release contains or may contain “forward-looking statements” within the meaning of the federal securities laws, including statements concerning anticipated future events and expectations that are not historical facts. These forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The forward-looking statements in this document reflect management’s best judgment at the time they are made, but all such statements are subject to numerous risks and uncertainties, which could cause actual results to differ materially from those expressed in or implied by the statements herein. Such forward-looking statements are often identified herein by use of words including, but not limited to, “may,” “believe,” “project,” “forecast,” “expect,” “estimate,” “anticipate,” “intend,” “looks forward to” and “plan.” In addition, the following factors could affect the Company’s actual results and cause such results to differ materially from those expressed in forward-looking statements. These factors include our ability to comply with applicable national stock exchange listing requirements, potential timing and outcomes of suspension and delisting procedures and future trading or quotation of our common stock, and other potential factors that could affect future financial and operating results as set forth under Item 1A of our Form 10-K. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. However, your attention is directed to any further disclosures made in our subsequent annual and periodic reports filed or furnished with the Securities and Exchange Commission on Forms 10-K, 10-Q and 8-K and Proxy Statements on Schedule 14A.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231215216524/en/

REGIS CORPORATION:

Kersten Zupfer

investorrelations@regiscorp.com

Source: Regis Corporation

FAQ

Why is Regis Corporation appealing the NYSE’s decision to delist its common stock?

Regis Corporation is appealing the decision to maintain its listing on the NYSE and present its compliance plan at the hearing.

What listing standard did Regis Corporation fail to comply with?

Regis Corporation failed to comply with the NYSE’s continued listing standard in Section 802.01B, which requires listed companies to maintain either at least $50 million in stockholders’ equity or at least $50 million in total market capitalization on a 30-trading day average basis.

Will Regis common stock be suspended from trading during the appeal?

Regis common stock has not been suspended from trading and is expected to continue to be listed and traded on the NYSE while the appeal remains pending.