Summary
Cboe Global Markets, Inc. (CBOE) has announced a significant strategic move to consolidate its common stock listing exclusively onto its own Cboe BZX Exchange, Inc. (Cboe) platform. Effective September 17, 2018, the company's shares will delist from the Nasdaq Global Select Market, ending the dual-listing arrangement. This move is expected to streamline trading, enhance visibility on Cboe's own exchange, and potentially reduce costs associated with maintaining multiple listings. In addition to the listing change, the company also updated its Executive Severance Plan. Key amendments include the addition of three new executive participants (John Deters, Andrew Lowenthal, and Patrick Sexton), revised definitions for "Cause" and "Good Reason" to broaden protections for the company and executives, and a change in the pro-rated bonus calculation to be based on target performance rather than actual achievement, which could potentially increase severance payouts in certain scenarios.
Key Highlights
- 1Cboe Global Markets (CBOE) will voluntarily delist its common stock from the Nasdaq Global Select Market, effective September 14, 2018.
- 2The company's common stock will exclusively trade on its own Cboe BZX Exchange, Inc. starting September 17, 2018.
- 3The stock will continue to trade under the ticker symbol 'CBOE'.
- 4The move aims to simplify listing arrangements and enhance Cboe's proprietary exchange.
- 5The Executive Severance Plan has been amended and restated.
- 6Three new executives, John Deters, Andrew Lowenthal, and Patrick Sexton, have been added as participants to the Severance Plan.
- 7Key definitions within the Severance Plan ('Cause' and 'Good Reason') have been updated, and the pro-rated bonus calculation for qualifying terminations now uses target performance levels.