There is exemption for minimum bid requirement. Read the bold sentence.
http://www.otcqx.com/content/doc/qx/Rules/OTCQX.pdf
2.2 OTCQX U.S. Eligibility Criteria
To be considered for admission to the OTCQX U.S. tier of OTCQX, the Company shall:
a) As of the most recent annual or quarterly period end, have $2 million in total
assets and as of the most recent fiscal year end one of the following: (i) $2
million in revenues; (ii) $1 million in net tangible assets; (iii) $500,000 in net
income; or (iv) $5 million in market value of publicly traded securities;
b) Have ongoing operations and shall not be a Shell Company, Blank-Check
Company, Special Purpose Acquisition Company or Development Stage
Company;
c) Not be subject to any Bankruptcy or reorganization proceedings;
d) Be duly organized, validly existing and in good standing under the laws of each
jurisdiction in which the Company is organized or does business;
e) Have at least 50 beneficial shareholders, each owning at least 100 shares of the
Company’s common stock;
f) Have proprietary priced quotations published by a Market Maker in OTC Link;
OTC Markets Group Inc. Page 5 of 28
OTCQX Rules for U.S. Companies (v.6.3 October 20, 2011)
g) Have a minimum bid price of $0.10 per share for its common stock as of the
close of business on each of the 90 consecutive trading days immediately
preceding the Company’s application for OTCQX, provided, however, that in the
event that (i) there has been no prior public market for the Company’s securities
in the U.S. and (ii) FINRA has approved a Form 211 relating to the Company’s
securities, then the Company may apply in writing to OTC Markets Group for an
exemption from the minimum bid price requirements of this Section 2.2(g), which
exemption may be granted by OTC Markets Group in its sole and absolute
discretion;
h) Have (i) audited balance sheets as of the end of each of the two most recent
fiscal years, or as of a date within 135 days if the Company has been in
existence for less than two fiscal years, and audited statements of income, cash
flows and changes in stockholders’ equity for each of the fiscal years immediately
preceding the date of each such audited balance sheet (or such shorter period as
the Company has been in existence), with each such financial disclosure made in
accordance with U.S. GAAP and including all matters of which the Company is
aware that are relevant to the Company’s ability to continue as a going concern,
including, without limitation, significant conditions and events and the Company’s
plans to mitigate such conditions and events; and (ii) unaudited interim financial
reports, prepared in conformance with U.S. GAAP, including a balance sheet as
of the end of the Company’s most recent fiscal quarter, and income statements,
statements of changes in stockholders’ equity and statements of cash flows for
the interim period up to the date of such balance sheet and the comparable
period of the preceding fiscal year; and
http://www.otcqx.com/content/doc/qx/Rules/OTCQX.pdf
2.2 OTCQX U.S. Eligibility Criteria
To be considered for admission to the OTCQX U.S. tier of OTCQX, the Company shall:
a) As of the most recent annual or quarterly period end, have $2 million in total
assets and as of the most recent fiscal year end one of the following: (i) $2
million in revenues; (ii) $1 million in net tangible assets; (iii) $500,000 in net
income; or (iv) $5 million in market value of publicly traded securities;
b) Have ongoing operations and shall not be a Shell Company, Blank-Check
Company, Special Purpose Acquisition Company or Development Stage
Company;
c) Not be subject to any Bankruptcy or reorganization proceedings;
d) Be duly organized, validly existing and in good standing under the laws of each
jurisdiction in which the Company is organized or does business;
e) Have at least 50 beneficial shareholders, each owning at least 100 shares of the
Company’s common stock;
f) Have proprietary priced quotations published by a Market Maker in OTC Link;
OTC Markets Group Inc. Page 5 of 28
OTCQX Rules for U.S. Companies (v.6.3 October 20, 2011)
g) Have a minimum bid price of $0.10 per share for its common stock as of the
close of business on each of the 90 consecutive trading days immediately
preceding the Company’s application for OTCQX, provided, however, that in the
event that (i) there has been no prior public market for the Company’s securities
in the U.S. and (ii) FINRA has approved a Form 211 relating to the Company’s
securities, then the Company may apply in writing to OTC Markets Group for an
exemption from the minimum bid price requirements of this Section 2.2(g), which
exemption may be granted by OTC Markets Group in its sole and absolute
discretion;
h) Have (i) audited balance sheets as of the end of each of the two most recent
fiscal years, or as of a date within 135 days if the Company has been in
existence for less than two fiscal years, and audited statements of income, cash
flows and changes in stockholders’ equity for each of the fiscal years immediately
preceding the date of each such audited balance sheet (or such shorter period as
the Company has been in existence), with each such financial disclosure made in
accordance with U.S. GAAP and including all matters of which the Company is
aware that are relevant to the Company’s ability to continue as a going concern,
including, without limitation, significant conditions and events and the Company’s
plans to mitigate such conditions and events; and (ii) unaudited interim financial
reports, prepared in conformance with U.S. GAAP, including a balance sheet as
of the end of the Company’s most recent fiscal quarter, and income statements,
statements of changes in stockholders’ equity and statements of cash flows for
the interim period up to the date of such balance sheet and the comparable
period of the preceding fiscal year; and
