Canwest to trade on Venture after delisting
Last Updated: Friday, November 13, 2009 | 11:15 AM ET
CBC News
Canwest Global Communications Corp. will begin trading on the TSX Venture Exchange on Monday after being delisted from the main Toronto market on Friday.
.jpg)
Winnipeg-based Canwest has seen its share price plummet to less than a quarter from $7 two years ago. (John Woods/Canadian Press) The move has been expected since the media conglomerate sought court protection from its creditors in October.
Trading in Canwest shares was halted following the company's move for creditor protection on Oct. 5. At the time, the shares were trading at 23.5 cents.
Companies lose their listings for failure to abide by the rules of the stock exchange. Part VII of the TSX's listing requirements says that bankruptcy proceedings and the price of a company's shares dropping below a certain value are reasons for delisting.
The smaller Venture Exchange has much laxer listing requirements, including no minimum share price.
Canwest's conventional television stations, including the Global TV network, and a few of its specialty cable channels are currently covered by the court protection, which is designed to allow insolvent companies work out arrangements with their creditors.
Canwest's newspapers — among them, the Vancouver Sun, Ottawa Citizen and Montreal Gazette — and most of its specialty cable channels are still outside of court protection, and all of the company's operations continue to operate while the corporate restructuring goes ahead.
