THQ Planning Reverse Stock Split
THQ has found a way from keeping their stocks from being delisted, at least for now.
The company filed plans with the SEC Friday to hold a stockholders meeting on June 29. The purpose of the meeting is to propose a reverse stock split to help avoid being delisted from NASDAQ.
A reverse stock split will make the apparent value per share become greater by making there be less shares. For example, out of the three proposed options (1:3, 1:5 and 1:10) owning three stocks before under the 1:3 ratio would make only one stock after the reverse split.
THQ received the delisting warning from NASDAQ on Jan. 31.