Civeo Corporation has been notified by the New York Stock Exchange that it is non-compliant with its listing standards. The company’s share price has fallen below $1 for the past 30 days.
Civeo has its head office in downtown Houston. The company provides workforce accommodation services to the oil and gas and mining industries. It has operations in Canada (66% of revenues), Australia (24%) and the US (10%). The company has a market capitalization of $145 million.
The company’s problems stem from its spin off from Oil States International in May 2014 . The spin-out saddled it with $775 million in debt. Given the collapse in oil prices later that year it was perfect timing by Oil States! Total debt is currently $391 million with a debt to adjusted EBITDA just over 4.0.
Just last month, the company promoted Carolyn Stone to be its CFO. She replaced Frank Steininger. He is staying on at the company as Executive VP of Strategic Initiatives until he retires in March 2020.
The company has notified the NYSE that it intends to cure the deficiency and restore its compliance with the listing standards. In general, a company has six months to regain compliance.
Back in February 2016, the company received a delisting notice because the share price had been below $1. Within a few weeks, shares climbed back above $1 and the company regained compliance.