Mall owner to delist its stock from NYSE
BOARDMAN — Washington Prime Group, the Columbus-based owner / operator of the Southern Park Mall, intends voluntarily to delist shares of its common and preferred stock from the New York Stock Exchange.
The move means the company, which also operates about 100 other retail centers across the U.S., will emerge from its Chapter 11 bankruptcy as a privately held company.
“Because the company’s common stock and preferred stock will no longer be publicly held upon its expected emergence from its previously announced Chapter 11 proceedings, the company believes that the costs and expenses associated with the continued listing of the common stock and preferred equity, and the corresponding governance and filing requirements, are not economically justified,” the company stated in a news release.
Washington Prime plans to notify the U.S. Securities and Exchange Commission of its intent to delist by Sept. 20, and it’s expected the last day of trading will be Sept. 29, according to the company.
The company does not intend to list its stock on another exchange or take any action to trade on the over-the-counter market.
Last week a federal bankruptcy court judge approved Washington Prime’s plan to emerge from bankruptcy, however, it’s unclear exactly when that might happen.
The company and some of its subsidiaries filed for bankruptcy in June after coming to terms on restructuring support agreements with creditors that held large percentages of Washington Prime’s debt and unsecured notes. It also obtained debtor-in-possession financing of $100 million to continue to operate.
The dominoes started to fall in February when the company missed a $23.2 million loan payment. It later entered in forbearance agreements with some of its creditors and noteholders that were extended several times to stave off bankruptcy and default, but the company eventually succumbed to Chapter 11.
Shares of Washington Prime’ stock have fallen 81 percent this year. Trading was down 6.5 percent Wednesday to close at $1.16 per share.