SMG Investor Gets SPAMmed

American Capital Strategies, the venture capital group that owns some 85 percent of SMG, has seen its stock sink like a stone in recent weeks and is in danger of being de-listed by NASDAQ.

The company, which trades under the symbol ACAS, closed at 75 cents per share March 4, well below the $1 per share threshold required by NASDAQ and the day after Hormel – which counts SPAM among its many products – replaced it on Standard & Poor’s 500.

The business development company’s market difficulties aren’t expected to have an immediate effect on SMG, beyond possibly limiting its access to capital. But then no one has easy access to capital these days.

However, according to ACS’s Q4 report, accountancy firm Ernst & Young says “substantial doubt exists about our ability to continue as a going concern.”