News

After Chapter 11 filing, Cosi to be delisted from Nasdaq

October 3, 2016

Last Thursday, Sept. 29, Così, Inc. received notice from the Nasdaq’ Listing Qualifications Department the company’s securities will be delisted, as a result of the stock market’s governing rules and following news that Cosi has filed for Chapter 11 restructuring. The company said in a news release today that it does not plan to appeal Nasdaq’s determination to delist its stock. 

Cosi’s stock will be suspended Oct. 10 at the opening of business and documents will be filed with the Securities and Exchange Commission to remove its securities from Nasdaq’s stock listings and registration. But, according to a news release, the company’s securities may still be eligible to be quoted as an OTC security, sometimes referred to as "Pink Sheets." In order to do this, a market maker must sponsor the security and follow SEC rules before initiating a quote.

However, since the company is delisted, no assurance is made that a market maker will apply to quote the company's common stock or that its common stock will be eligible for trading as an OTC security. During Chapter 11, security holders must remember that trading is not only risky, but very speculative, according to a company news release. Cosi warned that during this period extreme caution is warranted for those who might choose to invest.