Emmis Communications Corporation has announced that it will voluntarily delist its Class A Common Stock from the Nasdaq Stock Market, and based upon ownership of its shares by fewer than 300 holders of record, deregister its Class A Common Stock under the Securities Exchange Act of 1934 and suspend its public reporting obligations.
Emmis CEO Jeff Smulyan stated, “We’ve undertaken a detailed and thoughtful review of the costs and benefits associated with being a Nasdaq-listed and SEC reporting company. After careful consideration, our Board of Directors unanimously decided to voluntarily delist from Nasdaq and deregister with the SEC as we believe the expected savings of more than $1 million per year outweigh the advantages of continuing as a Nasdaq-listed and SEC reporting company.”
The company intends to file a Form 25 with the Securities and Exchange Commission on or about May 4, 2020 in order to delist from Nasdaq. Emmis anticipates that the last day of trading on Nasdaq will be on or about May 13, 2020. The company’s Class A Common Stock may thereafter be eligible for trading on an over-the-counter market, if one or more brokers chooses to make a market for the Company’s Class A Common Stock; however, there can be no assurances regarding any such trading.
On or about May 14, 2020, the company intends to file a Form 15 with the SEC, at which time Emmis anticipates that its obligations to file periodic reports under the Securities Exchange Act of 1934, as amended, including annual, quarterly and current reports on Form 10-K, Form 10-Q and Form 8-K, respectively, will be suspended, and that all requirements associated with being an Exchange Act-registered company will cease 90 days thereafter. Emmis still intends to file its annual report on Form 10-K for the fiscal year ending February 29, 2020.
