We’ve done a handful of stories on Audacy’s stock price and potential to be removed from the New York Stock Exchange, and on Tuesday that process began.
This is from Jeff Blumenthal at The Philadelphia Business Journal:
In a memo to employees, Audacy CEO David Field said the NYSE informed the company Tuesday that it was not in compliance with continued listing standards because its common stock traded at an “abnormally low selling price.”
When trading of Audacy stock was halted at 2 p.m., the share price was down more than 12% to 9 cents from Monday’s close of 11 cents.
The short version is that the NYSE told Audacy last summer that they needed to get the stock price back above a dollar. Audacy, which owns 94 WIP and other local stations, has cut costs in some areas and planned to initiate a reverse stock split to avoid de-listing.
In Blumenthal’s story, it says Field is still hoping to do the stock split and implement other measures to regain compliance over a summer appeal period.
Ultimately, Audacy could look to NASDAQ or another stock exchange, but it would be a reputational blow with shareholders and customers. They’ve gone from $11 per share to 9 cents per share in the span of six years, and they’ve got a lot of bloat that needs to be trimmed down in order to get the business wheels turning again. It won’t affect any of the day-to-day on a successful legacy station like WIP or WFAN, but who knows what’s in store for some of the other non-juggernaut properties in the portfolio.