BioXcel Therapeutics, Inc. exited the S&P TMI Index. This follows the company's recent Chapter 11 bankruptcy filing and plans to sell its assets. Earlier in the week, the company also exited several Russell indices. The delisting stems from the company's financial turmoil and significantly reduced market capitalization.
The company's stock declined dramatically. This followed the announcement of its bankruptcy and asset sale agreement with Teva Pharmaceuticals. The S&P TMI Index removal will likely further reduce investor interest in the stock. It will also likely reduce liquidity. Index-tracking funds must sell their holdings.