The largest adult video business trading publicly has been de-listed from the high-tech NASDAQ stock composite. Metro Global Media has confirmed the de-listing at the end of a week's worth of speculation.
Metro Los Angeles spokesman Greg Alves says NASDAQ told the company there "is a public interest concern" with a Metro shareholder, which is unrelated to a class action suit filed recently by another shareholder accusing the company of financial impropriety.
"It's not tied to the class action suit," Alves tells AVN On The Net. "(NASDAQ)'s a business like any other business, and they can choose who they want to do business with and who they don't." He also says the Metro de-listing won't affect four other adult entertainment businesses that trade on the NASDAQ composite.
"Although we are disappointed by their decision, day to day business will be unaffected," says chief financial officer Janet Hoey in a company statement, adding Metro stock will now trade on National Quotations Bureau (www.otcquote.com). "Revenues continue to rise and the company continues to build shareholder equity."
Metro had been suspended from NASDAQ listing earlier this fall because it was late in filing the required 10k report with the Securities and Exchange Commission. Hoey says NASDAQ de-listed Metro despite acknowledging that, in an statement she attributes to NASDAQ, "[Metro] currently appears to be in compliance with the filing, audit committee, and independent director requirements."
Metro has until Dec. 22 to ask NASDAQ to review the decision. Hoey says the company will make that request while considering listing options with still other stock exchanges, both at home and abroad.
