Melco Resorts at risk of being delisted from Nasdaq
The company has until May 3 to dispute the United States Securities and Exchange Commission’s identification of its status under the Holding Foreign Companies Accountable Act (HFCAA).
Macau.- Melco Resorts & Entertainment has been added to the US Securities and Exchange Commission’s list of companies at risk of being delisted from US stock exchanges for refusing requests to review the work of their auditors.
The US Holding Foreign Companies Accountable Act (HFCAA), which came into effect in 2020 and requires foreign companies listed in the US to comply with Public Corporate Accounting Oversight Board (PCAOB) audit inspection rules. Those that don’t risk being delisted from US exchanges after three consecutive years of non-compliance.
Melco Resorts said: “Melco notes such identification resulted from the Company’s filing of its annual report on Form 20-F for the fiscal year ended December 31, 2021.
“Melco has previously disclosed that its auditor, the independent registered public accounting firm that issued the audit report included in its annual report filed with the SEC, is in a jurisdiction currently listed as not being able to be fully inspected by the PCAOB, and thus the identification was expected.”
It said the company will continue to closely monitor developments and explore options. The list also mentions Studio City International Holdings, which runs the Studio City casino resort in Cotai, Macau.
Melco Resorts is listed on the Nasdaq and Studio City is listed on the New York Stock Exchange. According to SEC filings, the companies have until May 3 to challenge the SEC’s identification of their status under the Foreign Company Controlling Accountability Act (HFCAA).
Melco Resorts CEO awarded restricted shares worth US$15.2m
Melco Resorts & Entertainment Limited has announced it has awarded its chairman and CEO Lawrence Ho Yau Lung 2,052,206 shares worth US$15.2m. The shares represent approximately 0.42 per cent of Melco Resorts’ issued shares and are valued at US$7.40 each.
According to Melco Resorts, the award was given to Lawrence Ho Yau Lung for his “duties and responsibilities as director of a subsidiary of Melco Resorts in Macau, where the majority of the group’s business is located.”
The company added: “The purpose of the … grant of restricted shares to Mr Ho is for incentivising and motivating him to strive for the future development of the Melco Resorts group and its businesses.”