Delist, or delisted, or delisting

Delisting occurs when a stock is removed from a stock exchange. It can happen either voluntarily, when a company chooses to leave the exchange, or involuntarily, when the exchange forces the company to delist. Some reasons for delisting are the company is no longer operating, is reducing costs or decision-making time for management teams, is merging with another public or private company, no longer meets the exchange’s listing requirements, is moving from being publicly-owned to privately-owned, or has declared bankruptcy. Investors who do not sell their shares before the delisting date will still be shareholders in the company, and the shares may be moved onto the OTC markets. Read more about delisting and shares on Hatch.