The trajectory of an index curve is displayed inside a stock exchange on Jan. 2, 2020. (Photographer: Alex Kraus/Bloomberg)
The delisting of a company in a bear market presents a paradox. Where, as in an economic downturn, there is a perception that the market price of the company is not reflective of the true value of its businesses, the share price may cease to be an accurate indicator of the company’s worth. This offers a compelling justification, among others, for the managers and promoters to extricate the company from the stock market. However, when...