Ferrellgas Partners voluntarily delists from NYSE

December 26, 2019 By    

Ferrellgas Partners LP has taken steps to voluntarily delist its common units from the New York Stock Exchange (NYSE).

The Dec. 20, 2019, announcement follows the company’s receipt of notice from the NYSE that it was not in compliance with the continued listing standards and, as a result, was subject to the procedures outlined in Sections 801 and 802 of the NYSE Listed Company Manual.

Ferrellgas fell out of compliance with the NYSE in 2019 because the average closing price of the company’s common units over a consecutive 30-day trading period was less than $1 per unit.

The Ferrellgas board of directors approved a resolution authorizing the company to voluntarily delist from the NYSE for an indefinite period of time.

The nation’s second-largest retail propane company, Ferrellgas says it notified the NYSE of its intent to voluntarily delist its common stock from the stock exchange. The company filed with the Securities and Exchange Commission a Form 25 relating to the delisting of its common units on Dec. 30 and anticipated the delisting of its common units would become effective on Jan. 10, 2020. The company does not expect the delisting to have any adverse effects on its business operations.

Ferrellgas expects its common units will trade now on the OTC Pink market of the OTC Markets under the ticker symbol: FGPR. The company says it will remain subject to the periodic reporting requirements of the Securities Exchange Act of 1934, as amended. It had previously intended to apply to have its common units quoted on the OTCQB tier of the OTC Markets.

Ferrellgas becomes the second national propane company to drop from the NYSE in as many years. AmeriGas’ common units are no longer traded on the stock exchange after AmeriGas Partners LP merged with its parent company, UGI Corp., in August 2019. UGI acquired about 69.2 million public common units of AmeriGas that it did not already own in completing the buy-in of AmeriGas, the nation’s largest retail propane marketer.

Editor’s note: This article was updated on Jan. 14, 2020, with additional details from Ferrellgas.

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About the Author:

Brian Richesson is the editor in chief of LP Gas Magazine. Contact him at brichesson@northcoastmedia.net or 216-706-3748.

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