They have been running radio spots in the Chicago area for months. The proxy materials have been filed. The three primary requirements that they need to meet are related to float, stock price and the market value of the public float. According to the data on Yahoo, the current float is approximately 8.2 million shares. That will shrink to approximately 1.367 million shares. These shares would have a current value of approximately $6.15 million, about 23% above the $5.0 million minimum. The market's reaction to the year end numbers is going to be critical to this process. Hopefully, they have an adequate number of round lot shareholders. The following is from the proxy materials:
OTHER NASDAQ REQUIREMENTS
In addition to the $1.00 minimum bid price per share requirement described above, the continued listing of the Common Stock on the Nasdaq National Market is subject to the maintenance of the other quantitative and qualitative requirements set forth in the Nasdaq National Market Listing Requirements. In particular, the Nasdaq National Market Listing Requirements require that a company currently included in the Nasdaq National Market meet each of the following standards to maintain its continued listing:
Nasdaq National Market Listing Considerations:
(1) Net tangible assets of $4,000,000;
(2) a public float of 750,000 shares;
(3) a market value of public float of $5,000,000;
(4) a minimum bid price of $1 per share;
(5) 400 round lot shareholders;
(6) two market makers; and
(7) compliance with Nasdaq corporate governance rules. |
