On May 24, SMIC, a Chinese chip manufacturer, announced that it had informed the New York Stock Exchange on May 24, 2019 EDT that SMIC would apply for voluntary delisting of the company's American Depository shares (ads) from the New York Stock Exchange and deregistration of these ads and related common shares in accordance with the revised Securities Exchange Act of 1934. What happened to SMIC's delisting in the United States? SMIC international delisting in the United States to understand the details.
The reasons given by SMIC for delisting include the limited trading volume of SMIC's ADSS compared with its global trading volume, as well as the significant administrative burden and cost involved in maintaining the listing of ADSS on the New York Stock Exchange, registering with the U.S. Securities and Exchange Commission ("sec") and complying with the trading law and related obligations.
It is reported that SMIC has approved the decision, and SMIC plans to submit the form 25 document to the securities and Exchange Commission (SEC) on or about June 3, 2019 to delist its ads from the New York Stock Exchange, which is expected to take effect in 10 days, that is, the last trading day will be around June 13, 2019.