July 2 (Reuters) - Video games publisher THQ Inc said its stockholders approved a 1-for-10 reverse share split of its common stock to avert a delisting from the Nasdaq.
THQ, known for its wrestling and Ultimate fighting games, was told by the Nasdaq in January that it had until July 23 for its shares to close above $1 for at least 10 straight sessions, or be delisted.
The company cut jobs at several development studios after struggling over the last few years as bigger, cash-rich rivals Activision Blizzard Inc and Electronic Arts Inc invested in big-budget video games.
As buyers took to online games made by companies such as Zynga Inc, THQ’s traditional games sold less.
The Agoura Hills, California-based company’s shares are expected to trade on the post-reverse split-adjusted basis on the Nasdaq Global Select Market from July 9.
THQ’s shares closed at 62 cents on Friday on the Nasdaq. The stock price dropped below $1 in December.