Pacific Sunwear appeals NASDAQ delisting

By

Cassidy Mantor

Published
Mar 8, 2016

Pacific Sunwear of California has filed an appeal with the SEC after receiving notification that PSUN stock will be delisted off of the NASDAQ Securities Exchange.

Last year, PacSun was warned that it was in violation of the “Bid Price Rule,” because the minimum bid price of the Company’s common stock had not equaled or exceeded $1.00 at least once over a period of 30 consecutive business days.

It received another deficiency letter earlier this month indicating it was again, in violation of the Bid Price Rule, this time also notifying PacSun that it had until March 8 to appeal or the stock would be delisted from the NASDAQ on March 10.

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In its appeal, PacSun requests a hearing before the NASDAQ Hearings Panel and writes that it “intends to present a plan that it believes could enable it to regain compliance with the Bid Price Rule, including the completion of a reverse stock split, if necessary.”

PacSun acknowledges in its appeal that “there can be no assurance that the Company's appeal will be successful. If the Company's common stock is delisted, it may be eligible to continue to be quoted on the OTC Bulletin Board or in the Pink Sheets.”

The request for a hearing automatically stays the delisting of PSUN common stock pending the Panel’s decision.