Crossroads Systems Receives Nasdaq Notice

Crossroads Systems, Inc. announced that on March 2, 2016, the company received written notice from The NASDAQ Stock Market LLC indicating that the company is not in compliance with the $1.00 minimum bid price requirement for continued listing on The NASDAQ Capital Market, as set forth in Listing Rule 5550(a)(2).

In accordance with Listing Rule 5810(c)(3)(A), the company has a period of 180 calendar days, or until August 29, 2016, to regain compliance with the minimum bid price requirement. To regain compliance, the closing bid price of the company’s common stock must meet or exceed $1.00 per share for a minimum of ten consecutive business days during this 180 day period.

If the company is not in compliance by August 29, 2016, the company may be eligible for a second 180 calendar day period to regain compliance. To qualify, the company would be required to meet the continued listing requirement for market value of publicly held shares and all other initial listing standards for The NASDAQ Capital Market, with the exception of the minimum bid price requirement.

In addition, the company would be required to notify NASDAQ of its intent to cure the minimum bid price deficiency, which may include, if necessary, implementing a reverse stock split.

If the company does not regain compliance within the allotted compliance periods, including any extensions that may be granted by NASDAQ, NASDAQ will provide notice that the company’s common stock will be subject to delisting.

The company is currently reviewing its options to regain compliance with the NASDAQ Listing Rules, but no decisions have been made at this time.

Read also:
Crossroads Systems Regains Nasdaq Compliance
Maintaining stockholders’ equity of at least $2.5 million
2016.01.22 | Press Release