Dec

22

‘Penny Stock Rule’ Suspension Has Been Extended

Filed Under Other 

Nasdaq OMX Group Inc. (NDAQ) has asked the Securities and Exchange Commission to extend its suspension of rules requiring a minimum $1 closing bid price and a minimum market value for shares listed on its exchange.

The SEC approved the suspension of Nasdaq’s “penny stock” requirement, which requires shares of listed companies to stay above $1, in October, saying companies were in temporary need of relief.

Typically, companies listed on Nasdaq are required to maintain a minimum closing bid price of $1 a share. If a company trades below the $1 closing price for 30 consecutive business days, Nasdaq will then allow the company 180 calendar days to regain compliance and can permit an additional 180 days depending on the company’s exact listing standards. If the company isn’t able to boost its share price in that period, it faces delisting from the exchange.

Click here to read more.

Quote of the Day:
Money is like love; it kills slowly and painfully the one who withholds it, and enlivens the other who turns it on his fellow man. – Kahlil Gibran

  • Share/Bookmark

Comments

Leave a Reply




ss_blog_claim=15d8108b540c7f0a9f388810cf5ad68f ss_blog_claim=15d8108b540c7f0a9f388810cf5ad68f