J.C. Penney back at risk of delisting
J.C. Penney Co.’s weak stock price has caught up with it — again.
J.C. Penney Co. announced that the company has received a notice from the New York Stock Exchange that it no longer meets the exchange’s criteria for a continued listing. NYSE rules state that companies have to maintain an average closing share price of at least $1 for 30 consecutive days.
Penney has six month from the receipt of the letter, which it received on Jan. 31, to regain compliance with the share price rule. The retailer previously received a letter of non-compliance in August 2019.
In its announcement, Penney that it intends to regain compliance by pursuing measures that may include a reverse stock split, a measure that would require shareholder approval.