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Posted On: 10/17/2019 6:37:56 AM
Post# of 36566
"$2/share price — for at least five consecutive business days prior to approval, the security has a minimum closing price of at least $2 per share and the issuer has (A) market value of listed securities of at least $50M; (
stockholders’ equity of at least $4M; and (C) market value of publicly held shares of at least $15M.
In addition, the issuer must also demonstrate that it has:
Net tangible assets in excess of $2M if it has been in continuous operation for at least three years;
Net tangible assets in excess of $5M if it has been in continuous operation for less than three years; or
Average revenue of at least $6M for the last three years.
Nasdaq-listed securities have historically not been regulated as “penny stocks” (which subject broker-dealers trading in them to additional disclosure and other requirements) because of the exception for securities registered on a national securities exchange that, among other things, required a minimum bid price of $4 per share at initial listing. NYSE Amex benefits from a “grandfather” exception that permits lower initial prices. With Nasdaq’s new alternative listing standards, it can compete with the NYSE Amex for listings in the $2-3 range. However, it is possible that companies listing under these lower standards may become “penny stocks.”
If this is correct, perhaps it explains the daily battle to keep the closing pps at $2. If, as we suspect, we are within days of uplisting, we can expect a furious battle until uplisting occurs or it doesn't
I did not thoroughly examine the other requirements, but I believe we have met them. Some of the more OCD-inclined posters can comment.
stockholders’ equity of at least $4M; and (C) market value of publicly held shares of at least $15M. In addition, the issuer must also demonstrate that it has:
Net tangible assets in excess of $2M if it has been in continuous operation for at least three years;
Net tangible assets in excess of $5M if it has been in continuous operation for less than three years; or
Average revenue of at least $6M for the last three years.
Nasdaq-listed securities have historically not been regulated as “penny stocks” (which subject broker-dealers trading in them to additional disclosure and other requirements) because of the exception for securities registered on a national securities exchange that, among other things, required a minimum bid price of $4 per share at initial listing. NYSE Amex benefits from a “grandfather” exception that permits lower initial prices. With Nasdaq’s new alternative listing standards, it can compete with the NYSE Amex for listings in the $2-3 range. However, it is possible that companies listing under these lower standards may become “penny stocks.”
If this is correct, perhaps it explains the daily battle to keep the closing pps at $2. If, as we suspect, we are within days of uplisting, we can expect a furious battle until uplisting occurs or it doesn't
I did not thoroughly examine the other requirements, but I believe we have met them. Some of the more OCD-inclined posters can comment.
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