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Item 3.01. |
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Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing. |
On September 15, 2009, Anthracite Capital, Inc. (the “Company”) was notified by the New York Stock Exchange, Inc. (the “NYSE”) that the average per share price of its common stock was below the NYSE’s continued listing standard relating to minimum average
share price (the “Price Condition”). Rule 802.01C of the NYSE’s Listed Company Manual requires that the average closing price of a company’s common stock be no less than $1.00 per share over a consecutive 30 trading-day period.
Under the applicable rules and regulations of the NYSE, the Company has 10 business days from the receipt of the notice to notify the NYSE of its intent to cure the Price Condition deficiency. The Company intends to cure the Price Condition deficiency by effecting a reverse
stock split, subject to stockholder approval.
Under the applicable rules and regulations of the NYSE, the Company has six months from the date of the notice to cure the Price Condition deficiency unless the Company determines that it is necessary to take an action that requires stockholder approval. Since the reverse stock
split will require stockholder approval, the notice provides that the Company must obtain stockholder approval by no later than its next annual meeting (scheduled on May 18, 2010) and must implement the reverse stock split promptly thereafter. If the Company has not cured the Price Condition deficiency by that date, its common stock will be subject to suspension and delisting by the NYSE. The Price Condition deficiency will be deemed cured if the Company’s common stock price then promptly
exceeds $1.00 per share and remains above $1.00 for the following 30 trading days.
The ratio of the reverse stock split will be determined based on the facts and circumstances at a later date.
The Company’s common stock will continue to be listed on the NYSE under the symbol “AHR” during this interim cure period, but will be assigned a “.BC” indicator by the NYSE to signify that the Company is not currently in compliance with the NYSE’s quantitative
continued listing standards. The Company’s continued listing during this interim cure period is also subject to the Company’s compliance with other NYSE requirements and the NYSE’s right to reevaluate continued listing determinations, including if the Company's common stock trades at levels viewed to be abnormally low over a sustained period of time. Although the Company intends to cure the Price Condition deficiency and to return to compliance with the NYSE continued listing
requirements, there can be no assurance that it will be able to do so.