One week after receiving a delisting notice from Nasdaq, Quepasa.com, an online community Web site geared toward Hispanics, siad yesterday that its board of directors had approved the development of a plan to liquidate and sell the company's assets with the proceeds to be distributed to the shareholders.
Among the principal assets for sale are: the quepasa.com Web site business; its three wholly owned subsidiaries — RealEstateEspanol.com, Etrato.com and Credito.com; as well as furniture, fixtures and equipment. The company will continue to operate the quepasa.com Web site and the three subsidiary sites as it completes the liquidation process.
The plan is subject to shareholder approval.
Last month Quepasa, Phoenix, reduced its work force from 58 to 20 employees and plans to reduce the total further throughout the liquidation process. It plans to take a one-time restructuring charge of approximately $880,000 during the fourth quarter. Phone messages left for Quepasa representatives were not returned.
The delisting notice it received last week resulted from the company being unable to maintain a minimum bid price of $1 during the previous 30 consecutive trading days.
Quepasa, which launched in 1998, faces delisting as early as Feb. 6 if the bid price of its common stock does not trade above $1 for a minimum of 10 consecutive trading days. The stock closed yesterday at TK.
The company does not plan to appeal the decision, according to a statement. Instead, it intends to apply for listing on the OTC Bulletin Board.