Budget Group, NYSE in Talks on Listing Requirements
Budget Group Inc., the owner of Budget Rent a Car, said on Friday, Feb. 1, it is in talks with the New York Stock Exchange (NYSE) after being notified that the company is at risk of being delisted from the exchange.
Lisle, IL-based Budget Group said it does not currently meet the NYSE listing standard requiring a minimum closing share price of at least $1 per share over a 30-day period. The stock finished the regular session on Friday, Feb. 1, 2 cents lower at 62 cents.
The company also does not meet the exchange’s criteria for total market capitalization of not less than $50 million and stockholders’ equity of not less than $50 million.
Under NYSE rules, the exchange may grant a period of up to 18 months for the company to come into conformity with the market capitalization and stockholders’ equity requirements. It also may grant the company up to six months to comply with the minimum share price requirement.
Budget, which has been affected by the attacks of Sept. 11, said it would request the extensions and that it would submit a business plan to the NYSE for achieving compliance to maintain its listing.