GGRAsia – Konami to delist from NYSE on April 24

Konami to delist from NYSE on April 24

Apr 02, 2015 Newsdesk Japan, Latest News, Top of the deck, World

Japanese Konami Corp, a provider of slot machines and systems to the global gaming industry, notified the New York Stock Exchange (NYSE) on Wednesday that it will apply for voluntary delisting of its American Depositary Shares (ADSs).

The delisting will become effective on April 24, 2015, the company said in its latest filing. The firm will also file a form on April 13 with the U.S. Securities and Exchange Commission for deregistration, which should become effective in July.

The plan to delist its ADSs had been announced in November, with Konami saying that the listing on the NYSE was “not economically justified” and the trading volume of its share on the NYSE accounted “for only a small fraction of the total trading volume of its shares”.

On Wednesday, Konami said it intends to maintain its American Depositary Receipt programme in the U.S., adding that it expects that its ADSs “will continue to be traded in the U.S. on the over-the-counter market”.

The company plans to maintain its listings on the Tokyo Stock Exchange and the London Stock Exchange.

U.S.-based Konami Gaming Inc, a subsidiary of the Japanese entertainment conglomerate, has been investing heavily in games with an Asian appeal.

The parent company’s gaming and systems division in February reported net revenue of JPY23.2 billion (US$197.8 million) for the nine months ended December 31, up by 4.2 percent in comparison with the prior-year period.