Offshore driller Pacific Drilling has regained compliance with the New York Stock Exchanges’s continued listing requirements.
The drilling company previously announced that it received a notice from the NYSE on January 13, 2016 that Pacific Drilling did not satisfy the $1.00 minimum share price standard for continued listing of the Company’s common shares, and the company had until July 13, 2016 to cure the non-compliance.
At the close of trading on May 31, 2016, the company’s common shares had a closing price per share and a 30-trading-day average closing price per share above $1.00 and accordingly, the company has regained compliance with the continued listing standard.
The company’s shareholders in May approved a 1-for-10 reverse stock split of the company’s common shares, in accordance with the Board’s proposal, in order for the company to maintain the listing of its common shares on the New York Stock Exchange (“NYSE”)
The reverse stock split reduced the number of outstanding common shares from 225,510,784 to 22,551,077, and the Company’s shareholders received one new common share for every 10 common shares they owned.
Pacific Drilling in May reported a net loss of $2.5 million in the first quarter of 2016, down from a net profit of $51.7 million in the corresponding period of 2015.
Contract revenue for first-quarter 2016 was $205.4 million, which included $12.7 million of deferred revenue amortization, compared to fourth-quarter 2015 contract drilling revenue of $267.6 million, which included $20.4 million of deferred revenue amortization. During the quarter, only four of the company’s seven drillships were active.