The Financial Services Authority has recommended that film studios Pinewood Shepperton, controlled by Peel Group, should be removed from the main list of the London Stock Exchange on 31 May.
Pinewood no longer satisfies the so-called free float requirement that 25% of the company's shares be in public hands. Peel owns 71.1% and Stockport jeweller Warren James own 27.9%. Neither appears likely to sell in the short term.
Pinewood alerted the FSA to the static share situation in July 2011 following its takeover by Peel, which is rumoured to be considering a Pinewood film studio complex at Media City in Trafford and Salford.
Peel was expected to take Pinewood private but Pinewood said in a regulatory statement on Friday afternoon that a listing on the Alternative Investment Market was among the options being considered.
The statement read: "The board of Pinewood announces that this afternoon it has received a Supervisory Notice from the FSA proposing to discontinue the listing of the company's securities with effect from 31 May 2012, following a meeting by the Regulatory Decisions Committee held on 26 April 2012.
"The Company has the right to make written and oral representations to the FSA by 25 May 2012.
"The board of Pinewood is considering all options including a possible admission of its securities to trading on the Alternative Investment Market [which has different rules about share liquidity]. A further update will be provided in due course."
Shares in Pinewood were up 6% to 355p a share at 4pm on Friday valuing the business at £167.7m.