New York Stock Exchange to Delist American Addiction Centers Parent Company

The New York Stock Exchange has started the process to delist AAC Holdings, Inc. (NYSE: AAC), the parent company of American Addiction Centers.

The news comes after the NYSE suspended trading on the stock just a few days earlier.

Both moves are a consequence of AAC falling below the NYSE’s continued listing standard. It requires companies on the exchange to have an average global market capitalization of at least $15 million over a consecutive 30 trading day period, according to a NYSE press release announcing the news.

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When the market closed Friday, AAC had a market capitalization of only $12.1 million, according to the Nashville Business Journal.

Brentwood, Tennessee-based AAC is one of the nation’s largest addiction treatment providers. It has 11 inpatient facilities, 24 outpatient centers and four sober-living residences nationwide.

The company first went public in 2014. Since then, the way addiction treatment is paid for has seen a slew of changed — and AAC has struggled.

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In 2019 alone, AAC lost its president, COO and four members of the company’s board of directors. All of them resigned. On top of that, AAC is in default on a $30 million loan and has been getting delisting warnings from NYSE for months, the Nashville Business Journal reported. 

A company spokesperson told the Tennessee publication that the company will move to an over-the-counter market and will continue trading as a public company.

AAC Holdings is set to host its third quarter earnings call Nov. 7.

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