MultiPlan Delisted from NYSE, Moves to OTC Pink Market
Ticker: CTEV · Form: 8-K · Filed: Jan 3, 2024 · CIK: 1793229
| Field | Detail |
|---|---|
| Company | Multiplan CORP (CTEV) |
| Form Type | 8-K |
| Filed Date | Jan 3, 2024 |
| Risk Level | high |
| Pages | 2 |
| Reading Time | 2 min |
| Key Dollar Amounts | $0.0001, $11.50 |
| Sentiment | bearish |
Complexity: simple
Sentiment: bearish
Topics: delisting, regulatory-compliance, OTC-market, stock-price
TL;DR
**MultiPlan's stock is moving from the NYSE to the OTC Pink Market due to low share price, expect less liquidity and more risk.**
AI Summary
MultiPlan Corporation announced on January 2, 2024, that its Class A Common Stock and warrants will be delisted from the New York Stock Exchange (NYSE) and will begin trading on the OTC Pink Market under the symbols 'MPLN' and 'MPLN WS', respectively. This move follows the company's failure to meet NYSE's continued listing standards, specifically the minimum average closing price of $1.00 per share over a 30-trading-day period. This matters to investors because trading on the OTC Pink Market typically means lower liquidity, less transparency, and potentially greater price volatility, which can make the stock less attractive and harder to sell.
Why It Matters
Delisting from the NYSE to the OTC Pink Market often leads to reduced investor confidence, lower trading volume, and increased price volatility, making the stock a riskier investment.
Risk Assessment
Risk Level: high — Moving to the OTC Pink Market significantly increases investment risk due to reduced transparency, lower liquidity, and less stringent reporting requirements.
Analyst Insight
A smart investor would consider the increased risk and potential for reduced liquidity associated with trading on the OTC Pink Market and re-evaluate their position in MultiPlan Corporation, potentially looking to exit or reduce exposure.
Key Numbers
- $0.0001 — par value per share (the par value of MultiPlan's Class A Common Stock)
- 30 — trading days (the period over which NYSE measures the average closing price)
Key Players & Entities
- MultiPlan Corporation (company) — the registrant whose stock is being delisted
- New York Stock Exchange (company) — the exchange from which MultiPlan's stock is being delisted
- OTC Pink Market (company) — the market where MultiPlan's stock will now trade
- $1.00 (dollar_amount) — the minimum average closing price required by NYSE
- January 2, 2024 (date) — the date of the earliest event reported in the filing
Forward-Looking Statements
- MultiPlan's stock liquidity will decrease significantly. (MultiPlan Corporation) — high confidence, target: Q1 2024
- MultiPlan's stock price volatility will increase. (MultiPlan Corporation) — medium confidence, target: Q1 2024
FAQ
What is the primary reason MultiPlan Corporation's stock is being delisted from the NYSE?
MultiPlan Corporation's stock is being delisted because it failed to maintain a minimum average closing price of $1.00 per share over a consecutive 30-trading-day period, as required by NYSE continued listing standards.
When was the earliest event reported in this 8-K filing regarding the delisting?
The earliest event reported in this 8-K filing regarding the delisting occurred on January 2, 2024.
Where will MultiPlan Corporation's Class A Common Stock and warrants trade after delisting from the NYSE?
After delisting from the NYSE, MultiPlan Corporation's Class A Common Stock and warrants will begin trading on the OTC Pink Market under the symbols 'MPLN' and 'MPLN WS', respectively.
What is the Commission File Number for MultiPlan Corporation?
The Commission File Number for MultiPlan Corporation is 001-39228.
What is the par value of MultiPlan Corporation's Class A Common Stock?
The par value of MultiPlan Corporation's Class A Common Stock is $0.0001.
Filing Stats: 512 words · 2 min read · ~2 pages · Grade level 11.3 · Accepted 2024-01-03 16:22:20
Key Financial Figures
- $0.0001 — tered Shares of Class A Common Stock, $0.0001 par value per share MPLN New York Stoc
- $11.50 — Common Stock"), at an exercise price of $11.50 per share, and listed to trade on the N
Filing Documents
- mpln-20240102.htm (8-K) — 24KB
- 0001793229-24-000003.txt ( ) — 190KB
- mpln-20240102.xsd (EX-101.SCH) — 2KB
- mpln-20240102_def.xml (EX-101.DEF) — 17KB
- mpln-20240102_lab.xml (EX-101.LAB) — 31KB
- mpln-20240102_pre.xml (EX-101.PRE) — 17KB
- mpln-20240102_htm.xml (XML) — 4KB
01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard Transfer of Listing
Item 3.01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard Transfer of Listing. On January 2, 2024, the New York Stock Exchange (the "NYSE") notified MultiPlan Corporation (the "Company"), and, on January 3, 2024, publicly announced, that the NYSE has determined to (a) commence proceedings to delist the Company's warrants, each warrant exercisable for one share of the Company's Class A common stock, par value $0.0001 per share (the "Common Stock"), at an exercise price of $11.50 per share, and listed to trade on the NYSE under the symbol "MPLN.WS" (the "Warrants") and (b) immediately suspend trading in the Warrants due to "abnormally low" trading price levels pursuant to Section 802.01D of the NYSE Listed Company Manual. The Company does not intend to appeal the NYSE's determination. Trading in the Company's Common Stock will be unaffected and will continue on the NYSE under the symbol "MPLN".
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Dated: January 3, 2024 MultiPlan Corporation By: /s/ James M. Head Name: James M. Head Title: Executive Vice President and Chief Financial Officer