NEW ORLEANS--(BUSINESS WIRE)--
Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC (“KSF”), announces that KSF has commenced an investigation into Halcón Resources Corporation (HK).
On March 30, 2015, Halcón filed a Definitive Proxy Statement with the U.S. Securities and Exchange Commission, which asked shareholders to approve a proposed amendment of a Convertible Note and Warrants held by HALRES, one at the Company’s largest shareholders, at the upcoming annual shareholder meeting on May 6, 2015. The proposed amendment would extend the terms of the Convertible Note and Warrants by an additional three years (from 2017 to 2020) and reduce the conversion and exercise prices from $4.50 to $2.44 per share. The Proxy Statement, however, failed to disclose, among other things: (i) the negotiations between a special committee of the Company’s board of directors and HALRES regarding the amendments; (ii) what, if any, alternative arrangements were considered; and (iii) the underlying analysis of the special committee’s advisor.
KSF’s investigation is focusing on whether Halcón’s officers and/or directors breached their fiduciary duties to Halcón’s shareholders or otherwise violated state or federal laws.
If you are a Halcón shareholder and wish to discuss your legal rights or have information that would assist KSF in its investigation, you may, without obligation or cost to you, call toll-free at 1-877-515-1850 or email KSF Managing Partner
2.To approve an amendment to our Amended and Restated Certificate of Incorporation to effect a one-for-five (1:5) reverse stock split of our common stock;
And now the street has picked it up ? BTW oils down also .
Deficiency Notice Triggers
Failure of a company to meet a minimum closing bid price of at least $1 for 30 consecutive trading days can trigger delisting. When this happens Nasdaq issues a deficiency notice to the company. Another action that brings a deficiency notice is a company's failure to file periodic reports by dates specified by the Securities and Exchange Commission.
Receipt of Deficiency Notice
Any Nasdaq company receiving a deficiency notice has four business days to file an 8-K form with the SEC or to issue a press release to announce the notice. However, reporting failures require a company-issued press release. The company must provide the deficiency notice’s receipt date, unmet listing requirements, and action plan. The company must send a copy to Nasdaq before issuing the press release.
Return to Compliance
After receiving a deficiency notice, a company has 180 calendar days to return to compliance. A company warned about its shares' minimum bid price must achieve a closing price of $1 or more for 10 consecutive trading days during this period. Report-filing offenders must file the required reports, and then must file subsequent reports by the due dates.
Additional Grace Period
If a company with a minimum market value of $1 million in shares held by non-affiliates satisfies the other listing requirements, it may receive a second "cure period" of 180 calendar days. To receive this, the company must notify Nasdaq of its intent to correct the deficiency. Nasdaq may exercise its discretion in determining whether it believes the company can cure the deficiency.
If a company fails to comply with the minimum requirements during the first grace period or any second grace period, Nasdaq will issue a delisting letter to the company. As with the deficiency notice, the company must notify the investing public of the delisting letter within four business days, by filing an 8-K with the SEC. The company then can appeal its delisting to the hearings panel.
Once a company receives a Nasdaq delisting letter, it has seven days to formally request a hearing. This request effectively halts the delisting process until the panel renders a decision. At the hearing, the company must present a detailed plan to regain and maintain listing compliance. The panel may consider the company’s financial strength, general market overview and historical pricing.
Delisting and Appeals
After the seven days, Nasdaq delists a company. First it suspends trading of its security, then it finalizes the delisting. If a company appeals but the panel rules in favor of delisting, Nasdaq gives the company 15 more days to further appeal to Nasdaq or in federal court, but it begins final delisting procedures.
Minimum Stock Price
Just because a stock’s price falls under $1 doesn’t mean that buying and selling stops. The stock can sell for under $1 a share for 29 consecutive trading days and still be safe from delisting. However, it must sell for $1 or more on day 30. If the stock sells for under $1 a share for 30 consecutive days, it's in violation of NYSE minimum price regulations.
Initial Price Violation Notice
The NYSE notifies the company if the stock price remains stuck under $1 a share for 30 or more consecutive days. The company has only 10 days from the day it receives the notice to tell the NYSE what it plans to do. The company has the choice of getting the stock price back up or being delisted from the exchange, and must submit a plan to the exchange explaining how it will increase the stock price. If the company opts for delisting, the NYSE can suspend the stock’s trading and start the delisting process.
The NYSE will suspend the stock’s trading if the company can’t bring the stock price back up or if it doesn't approve the company’s plan. To notify current and potential stockholders, the NYSE issues a press release announcing the upcoming suspension. After completing the suspension application, the NYSE sends it to the Securities and Exchange Commission. During this time, the stock continues trading on the exchange. However, if the stock price fell because of corporate fraud, the NYSE can immediately suspend trading indefinitely.
The NYSE sends a delisting notice to the company and issues a press release explaining why the company is being delisted. The NYSE notifies the press daily about how the delisting process is going. If the company doesn’t want to be delisted, it can appeal the delisting and request a review before the SEC. If the SEC denies the appeal or if the company opted for delisting, all trading stops and the stock is removed from the NYSE.
Positives just keep mounting up !
An Army soldiers goes where he is told to go and fights who he is told to fight .This #$%$ did neither and cost lives of those who did the right thing .
""A reverse stock split is being proposed as it would increase the market price of our shares and would potentially make our Common Stock more attractive to a broader range of institutional and other investors." "
That is word for word what they stated back in 2012 ! The only thing missing was " that it would be a positive for our stakeholder's ! Take a look at SONS stock the had a R/S 1/5 back in January 2015 .
before April 15 .Firms need money to pay tax's .Shorting MHR was very profitable for them this year .No better way to spend those profits than covering a portion and pay uncle sam .imo
Baron Rothschild, the quintessential banking opportunist, is said to have advised that the best time to buy is when there is "blood in the streets. W.B. did state Rule # 1 Never lose money Rule # 2 was don't forget rule # 1 .
Headlines .Down Big A.H.