Oh Konami games... I grew up with them and am proud of it! Seriously though, this is a sad move for Konami and hopefully not a precursor of things to come.
For those of you who are 30-40 something, here are some of Konami's most popular games/franchises which are also my favorites as well:
Metal Gear Solid
It possible that the Norman Reedus Silent Hill project getting canceled led to this down-turn within Konami.
As Konami faces down the cancellation of the anticipated Silent Hills and an apparent labor dispute with storied developer Hideo Kojima, the venerable Japanese publisher has voluntarily decided to delist itself from the New York Stock Exchange, effective this coming July.
Konami will still be traded on the London and Tokyo Stock Exchanges, and it will still be available as an "over the counter" trade in the US, according to a corporate release. And while Konami will no longer be required to file regular financial and business updates with the SEC following the delisting, it promises to "continue to disclose financial statements and other information, in English, on its website to ensure that its overseas shareholders and investors will continue to have appropriate information about the Company."
In a statement provided to Game Informer, Konami noted that it expanded to the New York Stock Exchange in 2002 "mainly to diversify its opportunities for fund-raising and to raise the visibility of the Konami brand." Since then, Japanese stocks have been opened to foreign investors, and updates to Japanese accounting standards have put the country more in line with those in the US, Konami said. Overall, less than 0.3 percent of the company's total international trading takes place in the US—the vast majority of the rest goes through Tokyo—meaning the New York listing is "not economically justified," according to the company.
Despite that, some analysts think the delisting is still a troubling sign for a company that has had its share of bad news recently. "Although [Konami] has been expanding into other market sectors such as mobile and casino gaming outside the hardcore console sector, growth has been flat to negative in Konami's primary area of strength," longtime industry analyst Billy Pidgeon told Ars. Pidgeon also suggested that the weakness of the yen hurts a company whose market is so tightly focused on Japanese consumers these days. "It's not surprising Silent Hills was canceled considering the financial instability suggested by Konami's delisting. That said, Konami could be much better off after rebooting its market strategy."
But Wedbush Morgan analyst Michael Pachter says the delisting could just be a shrewd cost-saving measure given the state of Konami's international stock position. "[Konami] doesn't trade much in the US, certainly not enough to warrant the $5 to 10 million in annual regulatory cost for being listed in the US," he said. "I'm sure that they have their problems, but this looks like a cost savings move to me."