Item 3.01. Notice of Delisting or Failure to Satisfy Continued Listing Rule or
Standard; Transfer of Listing.
As previously announced, on March 9, 2021, Sundance Energy Inc., a Delaware
corporation (the "Company"), and each of its direct and indirect subsidiaries
(collectively with the Company, the "Debtors") filed voluntary petitions for
relief under chapter 11 of title 11 of the United States Bankruptcy Code
("Chapter 11") in the United States Bankruptcy Court for the Southern District
of Texas (Houston) (the "Bankruptcy Court"). The Debtors' Chapter 11 cases are
being jointly administered under the caption In re: Sundance Energy Inc., et
al., Case No. 21-30882 (DRJ) (the "Chapter 11 Cases").
On March 10, 2021, the Company received a letter from the Listing Qualifications
department staff of the NASDAQ Stock Market ("NASDAQ") notifying the Company
that, as a result of the Chapter 11 Cases and in accordance with NASDAQ Listing
Rules 5101, 5110(b), and IM5101-1, the staff of NASDAQ has determined that the
Company's securities will be delisted from NASDAQ at the opening of business on
March 19, 2021, and a Form 25-NSE will be filed with the Securities and Exchange
Commission (the "SEC").
The Company does not plan to appeal the NASDAQ staff's determination to delist
the Company's common stock. As a result of the delisting, the Company expects
that the trading of its common stock will transition to the Pink Open Market.
The Company can provide no assurance that its common stock will commence or
continue to trade on this market, whether broker-dealers will continue to
provide public quotes of the Company's common stock on this market, whether the
trading volume of the Company's common stock will be sufficient to provide for
an efficient trading market or whether quotes for the Company's common stock
will continue on this market in the future. The transition to over-the-counter
markets will not affect the Company's business or reporting requirements under
the rules of the SEC.
Item 3.03. Material Modification to Rights of Security Holders.
The information set forth below in Item 8.01 of this Current Report on Form 8-K
regarding the Order Establishing Notification Procedures and Approving
Restrictions on Certain Transfers of, or Worthlessness Deductions with Respect
to, Stock of the Debtors Docket No. 77 is incorporated herein by reference.
Item 8.01. Other Events.
On March 10, 2021, in connection with the Chapter 11 Cases, the Bankruptcy Court
entered orders granting the Debtors relief on several motions filed by the
Debtors. Among others, the Bankruptcy Court entered the Order Establishing
Notification Procedures and Approving Restrictions on Certain Transfers of, or
Worthlessness Deductions with Respect to, Stock of the Debtors Docket No. 77
(the "Order"). The Order approves the procedures (including notice requirements)
that certain shareholders and potential shareholders must comply with regarding
certain acquisitions or transfers of, or declarations of worthlessness with
respect to, Sundance Stock (as defined in the Order), as well as certain
requirements to notify the Company with respect to current share ownership
(collectively, the "Procedures"). A copy of the Procedures is included in the
Order. The terms and conditions of the Procedures were immediately effective and
enforceable upon entry of the Order by the Bankruptcy Court.
Any actions in violation of the Procedures (including the notice requirements)
are null and void ab initio, and any person or entity that takes any action in
violation of the Order or the Procedures, or otherwise fails to comply with
their requirements, shall be (a) subject to sanctions as the Bankruptcy Court
may consider appropriate and (b) required to take remedial actions, which may
include actions necessary to appropriately reflect that such transfer or
worthlessness deduction is null and void ab initio.
The foregoing description of the Order is qualified in its entirety by reference
to the Order Establishing Notification Procedures and Approving Restrictions on
Certain Transfers of, or Worthlessness Deductions with Respect to, Stock of the
Debtors Docket No. 77 and is incorporated herein by reference. Copies of the
Order and further information about the Chapter 11 Cases can be found at
https://cases.primeclerk.com/sundanceenergy.
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