Earlier this month, A.H. Belo said it was leaving the New York Stock Exchange for NASDAQ. Specifically, it's headed for NASDAQ's Capital Market. Why?
Reading between the lines, and learning more about that Capital Market is, I think it was in danger of being delisted.
NASDAQ Capital Market, per Investopedia:
The Nasdaq Capital Market is one of Nasdaq's U.S. market tiers containing early-stage companies that have relatively lower market capitalizations. Listing requirements for companies on the Nasdaq Capital Market are less stringent than for the two other Nasdaq market tiers, which focus on larger companies with higher market capitalization.
More on the Capital Market here further confirms this idea.
In short, Belo, a one-newspaper (Dallas Morning News, aka the Snooze) with adjuncts like Al Dia, and a digital marketing agency that must not be doing THAT well, doesn't have much money on tap. This is kind of like NASDAQ's "penny stocks" wing.
One thing that I'm kind of curious about: why didn't it go to the former AMEX instead? Is the bottom tier of NASDAQ even weaker?
Sidebar: I've long speculated about a full JOA between the Snooze and the Fort Worth StarleGram. Between this by Belo and McClatchy now under hedge fund ownership, that day is probably yet closer — if the two owners see that as the next best step.
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