Plymouth, Mich.-based Horizon Global Corp., a manufacturer of branded towing and trailering equipment, said Thursday that on May 1 it received a letter from the New York Stock Exchange informing the company of its non-compliance with NYSE continued listing standards.
The NYSE said that the letter was issued because the company’s average market capitalization over a recent consecutive 30 trading-day period had been less than $50 million, and, at the same time, stockholders’ equity was less than that amount.
As of May 1, the company says it has 45 business days to notify the NYSE of its intent to cure this deficiency. Its Thursday statement read, “Horizon Global intends to do so on a timely basis. In accordance with NYSE procedures, the company intends to submit a plan to the NYSE demonstrating how it intends to regain compliance with the continued listing standards on or prior to January 1, 2022, (or such later date as extended by the NYSE in response to the COVID-19 pandemic),” the company said in its announcement.
Added Terry Gohl, president and CEO: “The spread of COVID-19 has impacted all facets of our business and the global economy as a whole, and contributed to a recent decline in our market capitalization. We have and will continue to take aggressive action to mitigate the impact of COVID-19 on our business, with a focus on our liquidity, operations and the health and safety of our workforce. Despite the pandemic, we continue to progress on our operational improvement initiatives and provide best-in-class service to our customers. We look forward to submitting a plan to the NYSE that will outline actions intended to bring Horizon Global back into compliance with the NYSE continued listing standards.”