Trading halt of Russian internet company Ozon’s stock could trigger ‘Delisting Event’ if it continues

Ozone Holdings PLC OZONE,
one of Russia’s largest internet companies in Russia, said the halting of its stock by the Nasdaq could lead to a “Delisting Event” under terms of its $570 million, 1.875%, senior unsecured convertible bonds due 2026. Ozon’s American depositary shares has been halted by Nasdaq since Feb. 28. A “Delisting Event” would occur if trading on the ADS is suspended for seven sessions or more, which would be March 8 for Ozon’s ADS, and would entitle the bondholders to require the company to redeem their bonds at the principal amount plus accrued interest. The company said that if a “Delisting Event” were to occur, and it was unable to successfully negotiate with its bondholders, and were unable to provide the necessary liquidity to fund early redemption of the bonds, “it would result in a significant reduction in the amount of cash available to fund its operations and would have a significant effect on its operations and growth outlook.” Ozon’s stock had plunged 49.5% amid a six-day losing streak before the trading halt, to close at a record low of $11.60.

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