BEIJING, Oct. 30, 2014 /PRNewswire/ -- General Steel
Holdings, Inc. ("General Steel" or the "Company") (NYSE: GSI), a
leading non-state-owned steel producer in China, announced today that the New York Stock
Exchange (the "NYSE") has notified the Company that it has fallen
below the NYSE's continued listing standard that requires a minimum
average closing price of $1.00 per
share over a 30 consecutive trading day period. As of October 21, 2014, the 30 trading-day average
closing price of the Company was $0.99.
Pursuant to NYSE rules, the Company has a cure period of six
months from receipt of the notification on October 24, 2014, to cure its non-compliance of
the minimum share price standard. The Company can regain compliance
on an accelerated basis if its common stock has a share price at or
above $1.00 on the last trading day
of any calendar month within the cure period and the average share
price over the 30 trading days preceding the end of that month is
also at or above $1.00.
In addition, pursuant to NYSE rules, the Company has 10 business
days from the receipt of the NYSE's notification to submit its
intent to cure this non-compliance. The Company intends to submit a
plan outlining the actions it intends to complete to increase its
share price, and will notify the NYSE that it intends to cure the
non-compliance within the prescribed timeframe.
The NYSE suggests that the Company seriously consider
implementation of a reverse stock split, which the Company received
shareholder approval for at its annual general meeting on
December 27, 2013, in order to effect
a cure of its non-compliance within the appropriate timeframe and
to avoid any future recurrence of non-compliance with the NYSE's
share price standard. If the Company decides to implement a reverse
stock split, it must so inform the NYSE in the above referenced
notification and must implement the reverse stock split within the
six-month cure period. The Company intends to actively monitor the
closing price of its common stock during the cure period and will
evaluate available options to resolve this non-compliance and
regain compliance with the applicable NYSE rules.
The Company's common stock will continue to be listed and traded
on the NYSE during the six-month cure period, but will be assigned
a ".BC" indicator by the NYSE to signify that the Company is not
currently in compliance with the NYSE's continued listing
standards. The Company's business operations and United States
Securities and Exchange Commission reporting requirements are not
affected by the receipt of the NYSE's notification.
About General Steel
General Steel, headquartered in Beijing, China, produces a variety of steel
products including rebar, high-speed wire and spiral-weld pipe. The
Company has operations in China's
Shaanxi and Guangdong provinces, Inner Mongolia Autonomous
Region, and Tianjin municipality
with seven million metric tons of crude steel production capacity
under management. For more information, please visit
www.gshi-steel.com.
To be added to the General Steel email list to receive Company
news, or to request a hard copy of the Company's Annual Report on
Form 10-K, please send your request to
generalsteel@asiabridgegroup.com.
Forward-Looking Statements
This press release may contain certain forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. These statements are based on management's
current expectations or beliefs about future events and financial,
political and social trends and assumptions it has made based on
information currently available to it. The Company cannot assure
that any expectations, forecasts or assumptions made by management
in preparing these forward-looking statements will prove accurate,
or that any projections will be realized. Actual results could
differ materially from those projected in the forward-looking
statements as a result of inaccurate assumptions or a number of
risks and uncertainties. These risks and uncertainties are set
forth in the Company's filings under the Securities Act of 1933 and
the Securities Exchange Act of 1934 under "Risk Factors" and
elsewhere, and include: (a) those risks and uncertainties related
to general economic conditions in China, including regulatory factors that may
affect such economic conditions; (b) whether the Company is able to
manage its planned growth efficiently and operate profitable
operations, including whether its management will be able to
identify, hire, train, retain, motivate and manage required
personnel or that management will be able to successfully manage
and exploit existing and potential market opportunities; (c)
whether the Company is able to generate sufficient revenues or
obtain financing to sustain and grow its operations; (d) whether
the Company is able to successfully fulfill our primary
requirements for cash; and (e) other risks, including those
disclosed in the Company's most recent Annual Report on Form 10-K,
filed with the United States Securities and Exchange Commission.
Forward-looking statements contained herein speak only as of the
date of this release. The Company does not undertake any obligation
to update or revise publicly any forward-looking statements,
whether to reflect new information, future events or
otherwise.
Contact Us
General Steel Holdings, Inc.
Joyce Sung
Tel: +1-347-534-1435
Email: joyce.sung@gshi-steel.com
Asia Bridge Capital Limited
Carene Toh
Tel: +1-888-957-3362
Email: generalsteel@asiabridgegroup.com
SOURCE General Steel Holdings, Inc.