Regional Health Properties is at risk of being delisted from a stock exchange again but plans to take steps to regain compliance, the company shared in a Friday filing with the Securities and Exchange Commission.
The Suwanee, GA-based self-managed healthcare real estate investment company said it received a deficiency letter from NYSE American on Aug. 28.
“Specifically, the letter informed the company that the exchange has determined that shares of the company’s securities have been selling for a low price per share for a substantial period of time,” Regional Health Properties said. To continue to be listed, the company must undertake a reverse stock split of its common stock or otherwise demonstrate sustained price improvement by Feb. 27.
Regional Health Properties said its common stock and 10.875% Series A Cumulative Redeemable Preferred Shares will continue to be listed on the NYSE American while the company tries to regain compliance.
Two years ago, Regional Health Properties, then known as AdCare Health Systems, also faced potential stock exchange delisting. The issue in 2016 was that the company had reported a stockholders’ deficit of $23.8 million as of Dec. 31, 2015, and net losses for the previous five fiscal years. AdCare subsequently devised a compliance plan that included a reorganization (and the name change) to “regain compliance with certain continued listing requirements,” officials said at the time.
Regional Health Properties currently owns, leases or manages for third parties 30 senior living and care facilities spanning independent living, assisted living and skilled nursing.