Page 1 of 2 12 LastLast
Results 1 to 10 of 14

Thread: Question About Sirius XM / Nasdaq

  1. #1
    Danzo is offline
    Member
    Danzo's Avatar
    Joined: Mar 2009 Location: Seattle Area Posts: 46

    Question About Sirius XM / Nasdaq

    As I understand it, the rule about a $1 pps has been suspended until something like April 17th. After that, how much time does Sirius XM have to get their stock up to at least $1 per share before it gets delisted?

  2. #2
    OldDruid is offline
    Enthusiast
    OldDruid's Avatar
    Joined: Feb 2009 Location: North Carolina Posts: 116
    danzo..
    I am going to paste a copy from NEWMAN, from another thread. It address your question. begin quote NEWMAN:
    "Unfortunately, I think an RS is needed. BUT NOT YET.

    With a float of 4 billion shares and a stock price in the teens, the circumstances lend themselves to manipulation.

    They need to wait until they have a consistant string of good news. I could see an RS coming around September if the economy turns around, banks start lending, and people start buying cars. If all of these are not happening yet, a RS will be a disaster for current shareholders.

    As far as for HAVING to do a RS, there will be another shareholder meeting this year. They could vote to extend the deadline for the RS. The earliest possible time when SIRI could get delisted currently is around March or May of 2010. (Cant remember exactly). Also, NASDAQ has mentioned that it is considering taking out the minimum $1 stock price requirment and instead sticking with a minimum market cap requirement. I believe the current market cap requirement is $50 million, meaning Sirius stock would have to drop to 0.014 cent per share before they hit that number.

    I do not see a share buy back happening in the next 3 years, so that will not prevent a RS.

    Just my opinion.
    __________________
    Disclaimer: LONG Sirius XM (its good to be back) "
    End quote
    You can find this and other usefull information in the "R/S" split threads.
    Last edited by OldDruid; 03-08-2009 at 07:22 PM. Reason: typo's punctuation

  3. #3
    Danzo is offline
    Member
    Danzo's Avatar
    Joined: Mar 2009 Location: Seattle Area Posts: 46

    Sounds Awesome!

    So Sirius will have AT LEAST about 12 months to get the price up to a dollar a share, and by then Nasdaq might not even HAVE a minimum price per share?

    I gotta love THAT news. I feel pretty good about my 16,420 shares at this point.

  4. #4
    Danzo is offline
    Member
    Danzo's Avatar
    Joined: Mar 2009 Location: Seattle Area Posts: 46

    Technically...

    ...I guess it's not necessarily NEWS in general, just news to me

  5. #5
    Paratrooper_Rick is offline
    Addict
    Paratrooper_Rick's Avatar
    Joined: Feb 2009 Location: In the trenches taking aim Posts: 634
    Yes - I think the consensus is that we can take a deep breath on the R/S & any chance of delisting for a bit....

    I think the group focus needs to be on monday pre-market/SP for now and doing the preliminary math prior to the 17 March Conference Call.......

  6. #6
    Wirestripper is offline
    Enthusiast
    Wirestripper's Avatar
    Joined: Mar 2009 Location: Arkansas, USA Posts: 137
    Quote Originally Posted by Danzo View Post
    ...I guess it's not necessarily NEWS in general, just news to me
    Yes, even after a deadline passes, they have a couple of delays built into the process where they appeal it and the like. That is how it gets extended to 2010.

    Currently, NASDAQ is rethinking all their limits, as are others in order to keep the markets together during this mess.

  7. #7
    Newman is offline
    Mentor
    Newman's Avatar
    Joined: Jun 2007 Location: Dallas Texas Posts: 1,162
    Quote Originally Posted by Danzo View Post
    As I understand it, the rule about a $1 pps has been suspended until something like April 17th. After that, how much time does Sirius XM have to get their stock up to at least $1 per share before it gets delisted?
    Danzo, I cannot remember what the exact date is, but since you posted April 17th (2009), I will use that. Keep in mind, the following scenario is based on if the Nasdaq turned their rules back on exactly how the had them before.

    As of April 17th, their rules go back into effect. Sirius has 30 days to get their CLOSING stock price to over a dollar for even a single day.

    If that does not happen, NASDAQ issues a delistment notice. This notice gives Sirius 180 days (6 months) to get their stock price back over $1 and keep it there for at least 5 consecutive trading days.

    If Sirius cannot get this done, they can file for an appeal. With this appeal, they have to submit a plan on how they will get their stock price over $1. This plan has to include a provision for Reverse Split. Once the appeal is approved (which it is in nearly 99% of cases), Sirius is given an additional 180 days (6 months) to execute this plan and get their stock price over $1.

    If after all of this, Sirius stock price is still below $1, then the NASDAQ board meets to discuss delistment. The board still has the power to decide not to delist the company citing any reason they choose, but most commonly it is "trading equity".

    So take your April 17th date, add 30 days, then add 180 days and you arrive at the FIRST POSSIBLE chance of delistment on November 2009, but if their appeal is successful (which 99% are), this date is extended 6 months to May 2010. Then again, the board could decide not to delist them anyway.

    How do you think brokers would appreciate NASDAQ delisting on of the most heavily traded stocks of all times? Probably not very well...

  8. #8
    Newman is offline
    Mentor
    Newman's Avatar
    Joined: Jun 2007 Location: Dallas Texas Posts: 1,162
    OldDruid: You have GOT to learn how to use the tags on this board...

    [ quote ] and [ /quote ] (without the spaces).
    I am quoting myself
    Or, you can add the name of the person who said it:
    [ quote=Newman ] [ /quote ] (again, without the spaces)
    Quote Originally Posted by Newman
    I am quoting myself
    Next week we will learn how to post URLs.

  9. #9
    OldDruid is offline
    Enthusiast
    OldDruid's Avatar
    Joined: Feb 2009 Location: North Carolina Posts: 116
    Quote Originally Posted by Newman View Post
    OldDruid: You have GOT to learn how to use the tags on this board...

    [ quote ] and [ /quote ] (without the spaces).


    Or, you can add the name of the person who said it:
    [ quote=Newman ] [ /quote ] (again, without the spaces)


    Next week we will learn how to post URLs.
    quote test 001
    asdf
    quote test preview 01
    quote test 002
    quote test preview 02

  10. #10
    OldDruid is offline
    Enthusiast
    OldDruid's Avatar
    Joined: Feb 2009 Location: North Carolina Posts: 116
    I think I got it!
    Look out little URL's, your next.

  11. Ad Fairy Senior Member
Page 1 of 2 12 LastLast

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •