Safeguard Scientifics Intends To File Form 25 To Voluntarily Delist Its Common Stock From The Nasdaq Stock Market LLC
Portfolio Pulse from Benzinga Newsdesk
Safeguard Scientifics, Inc. (NASDAQ:SFE) has announced its intention to voluntarily delist its common stock from the Nasdaq Stock Market. The company plans to file Form 25 with the SEC on February 2, 2024, and expects delisting to occur ten days later. Safeguard aims to deregister its common stock under the Exchange Act by filing Form 15, citing fewer than 300 shareholders of record. Post-delisting, Safeguard's stock may trade over-the-counter, potentially on a market operated by OTC Markets Group Inc. The company also completed a reverse and forward stock split (1-for-100 and 100-for-1) effective January 12, 2024, as part of its plan to cease registration and delist from Nasdaq.
January 22, 2024 | 9:39 pm
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Safeguard Scientifics intends to delist from Nasdaq and deregister its stock, with potential future trading on the OTC market. The company has also executed a reverse and forward stock split.
The announcement of delisting typically leads to a negative perception among investors, as it often indicates a desire to reduce regulatory scrutiny and can decrease liquidity and visibility of the stock. The reverse and forward stock splits may also indicate an attempt to adjust the number of shareholders to meet deregistration requirements. These factors combined are likely to have a negative short-term impact on the stock price.
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