Market conditions are solid, and the economy is also doing well, but Allied Nevada Gold Corp. (OTCMKTS:ANVGQ) is not having a good time out there in the market. Reports claim that it recently received a notice from the NYSE MKT LLC that stated it could no longer trade its common stock. The notice proved to be a shock to the company and its shareholders.
What Led To This Ban:
The NYSEMKT decided to suspend the company’s common stock immediately from trading. Things didn’t stop here as NYSE also initiated the proceedings to delist the company pursuant to NYSE MKT LLC Guide’s Section 1003(c) (iii). The decision of NYSE MKT came after a few chapter 11 bankruptcy filings about Allied and its subsidiaries were disclosed. The decision came at a time when Allied Nevada was doing perfectly fine in the stock market. It ruined all the possibilities of the further growth and set company’s stocks on fire. According to market experts, it’s going from bad to worse for Allied Nevada as the company may have to go through a pre-arranged reorganization plan.
Allied Nevada’s problems have not ended with NYSE MKT LLC’s decision. Once NYSE’s reports went public, Toronto Stock Exchange also decided to suspend its common stock shares from trading with immediate effects. Unless TSX’s Expedited Review Process doesn’t get finished completely and results come out, Allied Nevada will remain suspended. It’s a huge loss for the company and its shareholders. The action of both of these stock exchanges has affected the market image of Allied Nevada badly.
The major points that played a vital role in this suspension include-
- Chapter 11 bankruptcy filings against Allied Nevada and its subsidiaries, both direct and indirect.
- Doubtful operating results of Allied Nevada
- Financial condition
- Unclear Situation About availability of adequate working capital and capital structure.
No updates from any Allied Nevada Gold Corp. (OTCMKTS:ANVGQ) spokesperson have been received yet.