Financial Encyclopedia
Delisting
Definition
Delisting is the removal of a listed security from a stock exchange.
Example
In 2018 PJSC Megafon left the London Stock Exchange. In December, management reported information about the buyback of securities from shareholders with small stakes in the authorized capital. Further, in 2019, the company left the Moscow Exchange.
More detailed
Reasons for delisting:
1. An M&A deal has taken place and the stock no longer exists.
2. Liquidation of the company (bankruptcy or voluntary liquidation).
3. The company decides to terminate participation in the quotation list.
4. The company violates the listing rules established by the exchange.
For example, in 2018 PJSC Megafon left the London Stock Exchange. In December, management reported information about the buyback of securities from shareholders with small stakes in the authorized capital. Further, in 2019, the company left the Moscow Exchange.
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