10 companies face delisting from TSE for market cap shortage

TOKYO, Feb. 2 Kyodo -
With stock prices plunging amid the global financial crisis, the Tokyo Stock
Exchange said Monday that 10 of its listed companies were short of minimum
market capitalizations required for listing as of the end of January.
The 10 companies, including Azel Corp. listed on the First Section, Central
General Development Co. on the Second Section and Dear Life Co. on the Mothers
market for start-ups, will be delisted if they fail to bring their market caps
back to the required levels during a nine-month grace period, the TSE said.
The Osaka Securities Exchange said the same day that Asahi Eito Co. did not
have a market value needed to remain listed on its Second Section.
In addition, six of the 30 stocks traded on the Centrex market for start-ups in
the Nagoya Stock Exchange need to raise their market caps back to the required
levels.
The TSE and OSE also said they will demote four and two companies,
respectively, from the first to second sections unless their market values rise
back to the required levels for listing on the more prestigious section within
a nine-month grace period.
As an emergency step to deal with the recent plunges in stock prices, the Tokyo
and Osaka bourses stopped applying their market cap requirements for listing
from last October through December in order to prevent a large number of
companies from being delisted.
==Kyodo