Pennsylvania REIT delisted from NYSE

Joseph Coradino of PREIT with Fashion District Philadelphia (PREIT, Fashion District Philadelphia, Getty)

UPDATED, December 15, 10:28 PM: Pennsylvania Real Estate Investment Trust is being kicked off the New York Stock Exchange, the latest blow to the struggling mall operator that filed for bankruptcy two years ago.

The exchange announced Thursday afternoon that it would immediately suspend trading in PREIT stock and begin delisting the shares after the mall’s owner failed to maintain a market cap of at least $15 million.

A spokesperson for the Philadelphia-based landlord said the company plans to transfer trading of its shares to OTC Markets.

Shares of the company were priced at about $2.40 per share late Thursday afternoon, a far cry from the high of more than $700 per share in 2005.

The company, led by CEO Joseph Coradino, owns 22 malls, mostly concentrated in the Mid-Atlantic, most of which are considered B-grade properties.

PREIT struggled with other low-quality mall owners as online shopping and changes in consumer trends put pressure on second-tier malls. PREIT was working on a strategic plan to improve its portfolio when the pandemic hit and lockdowns forced it to close its malls.

The company filed for bankruptcy in 2020 and re-emerged just over a month later. But instead of deleveraging, the REIT took on more loans and hit the road by extending maturities.

PREIT said last week it had the $35 million minimum liquidity requirement and debt-to-loan ratio needed to extend its first and second lien credit facilities for another year.

This story has been updated with a comment from Pennsylvania REIT.