The New York Stock Exchange has sent a new delisting notice for the common shares of
The NYSE issued the notice based on the end of an 18-month period Altisource had to show compliance with the exchange's rules following authorization to restart trading after a past delisting. The exchange found AAMC did not demonstrate compliance during the period ending Nov. 30.
The company's board of directors intends to appeal the decision, a press release from Altisource said.
The company's stock was trading at a little over $3 per share and down by nearly 3% on the day at deadline Tuesday.
The company has had to reinvent itself multiple times, including during a period last year in which it
Danya Sawyer, the chief operating officer of AAMC's Alternative Lending Group, took over as the temporary head of the company after Kopcak's departure.
Subsequently Chief Financial Officer Stephen Krallman resigned, succeeded by Richard Rodick, who previously had held the title of vice president, finance.
The U.S. Virgin Islands-based corporation is one of the Altisource companies spun off in the separation of what were considered an excessive number of entities with ties to Ocwen founder William Erbey.
Altisource SA originally spun off the company to specialize in services for direct real-estate investment vehicles, including those dedicated to distressed and single-family rental loans.
However, Altisource Asset Management terminated ties to its main client, Front Yard Residential, when
The exchange subsequently issued an earlier delisting notice to AAMC due to its lack of operations as it transitioned to an internally managed real estate investment trust.
The company has worked to strike a balance between establishing substantial operations and operating profitably in the wake of that action.
Like many mortgage origination-related businesses, the company has downsized. It has made cuts across all business lines, less use of third-party professional services, and consolidation of operations with the closure of a Tampa, Florida, office.
Tthe company has also cut back on its use of short-term lines of credit with the aim of improving its finances.
AAMC has been working, in part, to offset litigation expenses. A previously favorable ruling in a lawsuit over contractual obligations with Luxor, its preferred shareholder, could face an appeal, according to a third-quarter Securities and Commission filing.
"If Luxor were to be granted leave to continue its appeals to the Court of Appeals, and if the results of such an appeal were adverse to AAMC, our liquidity could be materially and adversely affected," the company said in the filing.
Altisource Asset Management recorded a net loss of $13.47 million in the third quarter of 2023 that exceeded losses of over $3.81 million the previous quarter and $3.99 million a year earlier.
