On May 26, 2020, Hertz Global Holdings, Inc. (NYSE:HTZ) received a letter from the staff of NYSE Regulation, Inc. that it had determined to start proceedings to delist the HTZ stock from the New York Stock Exchange . NYSE Regulation reached its decision that Hertz is no longer suitable for listing pursuant to NYSE Listed Company Manual Section 802.01D after the Company’s disclosure on May 22, 2020 that it has started voluntary petitions for reorganization under chapter 11 of the Bankruptcy Code.
Looks like Hertz will fight this decision as it appealed the determination in a timely manner and requested a hearing before the NYSE. At this time, the common stock of the Company will continue to be listed and trade on the NYSE pending resolution of such appeal. There can be no assurance that the NYSE will grant Hertz Global request for continued listing at the hearing and whether there will be equity value in the Company’s common stock.
After losing more than 20% on Tuesday, HTZ shares are down more than 10% in pre-market on Wednesday. Seems like investors that were jubilant about Chapter 11 are now bearish after Hertz decided to challenge NYSE to a duel by throwing a glove into face.