DALLAS, Nov. 3, 2020 /PRNewswire/ -- Ashford Inc. (NYSE
American: AINC) ("Ashford" or the "Company") today announced that
the NYSE American LLC (the "NYSE American") has accepted the
Company's plan of compliance for continued listing on the
exchange.
As previously reported, on August 26,
2020, the Company received notification (the "Letter") from
the NYSE American that it was not in compliance with the continued
listing standards set forth in the NYSE American Company Guide (the
"Company Guide"). Specifically, the Letter indicated that the
Company was not in compliance with Sections 1003(a)(i) and
1003(a)(ii) of the Company Guide, requiring a listed company to
have stockholders' equity of (i) at least $2.0 million if it has reported losses from
continuing operations or net losses in two of its three most recent
fiscal years and (ii) at least $4.0
million if it has reported losses from continuing operations
or net losses in three of its four most recent fiscal years. The
Letter noted that the Company reported a stockholders' deficit of
$159.2 million as of June 30, 2020, and has had losses from continuing
operations and/or net losses in each of its five most recent fiscal
years, except for the fiscal year ended December 31, 2018.
The Company was required to submit a plan to the NYSE American
by September 25, 2020 addressing how
it intends to regain compliance with Sections 1003(a)(i) and (ii)
of the Company Guide by February 26,
2022, or sooner if the NYSE American determines that the
nature and circumstances of the Company's continued listing status
warrant a shorter period of time. The Company submitted a
plan prior to the deadline.
On October 29, 2020, the Company
received notice from the NYSE American that it had accepted the
Company's plan and granted a plan period through February 26, 2022. During the plan period the
Company will be subject to quarterly review to determine if it is
making progress consistent with the plan. If the Company does not
regain compliance with the NYSE American listing standards by
February 26, 2022, or if the Company
does not make sufficient progress consistent with its plan, then
the NYSE American may initiate delisting proceedings.
The Company's stock will continue to be listed on the NYSE
American during the plan period pursuant to an extension. The
Company's receipt of such notification from the NYSE American does
not affect the Company's business, operations or reporting
requirements with the U.S. Securities and Exchange Commission.
The Company can provide no assurances that it will be able to
make progress with respect to its plan that NYSE American will
determine to be satisfactory, that it will regain compliance with
Section 1003(a)(i) and (ii) of the Company Guide on or before the
expiration of the plan period, or that developments and events
occurring subsequent to the Company's formulation of the plan or
its acceptance by the NYSE American will not adversely affect the
Company's ability to make sufficient progress and/or regain
compliance with Section 1003(a)(i) and (ii) of the Company Guide on
or before the expiration of the plan period or result in the
Company's failure to be in compliance with other NYSE American
continued listing standards.
* * * * *
Ashford provides global asset management, investment management
and related services to the real estate and hospitality
sectors.
Follow Chairman and CEO Monty
Bennett on Twitter at www.twitter.com/MBennettAshford or
@MBennettAshford.
Ashford has created an Ashford App for the hospitality REIT
investor community. The Ashford App is available for free
download at Apple's App Store and
the Google Play Store by searching "Ashford."
Forward-Looking Statements
Certain statements and assumptions in this press release
contain or are based upon "forward-looking" information and are
being made pursuant to the safe harbor provisions of the federal
securities regulations. When we use the words "will likely result,"
"may," "anticipate," "estimate," "should," "expect," "believe,"
"intend," or similar expressions, we intend to identify
forward-looking statements. Such statements are subject to numerous
assumptions and uncertainties, many of which are outside Ashford
Inc.'s control.
These forward-looking statements are subject to known and
unknown risks and uncertainties, which could cause actual results
to differ materially from those anticipated, including, without
limitation: the impact of COVID-19 on our business and investment
strategy; the ability of Ashford Hospitality Trust, Inc., one of
the Company's key clients, to continue as a going concern; the
timing and outcome of the Securities and Exchange Commission's
investigation; anticipated or expected purchases or sales of
assets; our projected operating results; completion of any pending
transactions; our ability to restructure our current or obtain
future financing arrangements; our understanding of our
competition; market trends; projected capital expenditures; and the
impact of technology on our operations and business. Such
forward-looking statements are based on our beliefs, assumptions,
and expectations of our future performance taking into account all
information currently known to us. These beliefs, assumptions, and
expectations can change as a result of many potential events or
factors, not all of which are known to us. If a change occurs, our
business, financial condition, liquidity, results of operations,
plans, and other objectives may vary materially from those
expressed in our forward-looking statements. You should carefully
consider this risk when you make an investment decision concerning
our securities. These and other risk factors are more fully
discussed in Ashford Inc.'s filings with the Securities and
Exchange Commission.
The forward-looking statements included in this press release
are only made as of the date of this press release. The Company can
give no assurance that these forward-looking statements will be
attained or that any deviation will not occur. We are not obligated
to publicly update or revise any forward-looking statements,
whether as a result of new information, future events or
circumstances, changes in expectations or otherwise.
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SOURCE Ashford Inc.