Offshore drilling contractor Transocean has received a listing warning from the New York Stock Exchange after its average closing share price fell below the minimum of $1.00 per share during a consecutive 30 trading-day period.
From the date of the formal non-compliance notice, companies are usually given six months to regain compliance with the minimum share price standard.
If Transocean is unable to cure the deficiency within that period, the NYSE may have its shares suspended from trading.
"Transocean intends to cure the deficiency and regain compliance with NYSE’s listing standard," the company said.
"Transocean is evaluating all available options to regain compliance with the NYSE’s continued listing standards, which may include transactions that are subject to approval of Transocean’s shareholders. In such a case, Transocean would have until its next annual meeting of shareholders to obtain shareholder approval for such action, notwithstanding the six-month cure period [...]," Transocean said.
During the period of non-compliance, subject to Transocean’s continued compliance with other NYSE listing requirements, the company’s shares will continue to be traded on the NYSE under the symbol “RIG", the offshore drilling firm added.
"The current NYSE notification does not impact Transocean’s ongoing business operations or its U.S. Securities and Exchange Commission reporting requirements, and it does not result in a default under any of its material debt agreements," it said.