New York Stock Exchange issues non compliance Letter to Crypto provider SOS
The New York Stock Exchange (NYSE) has sent a non-compliance letter to blockchain service solution provider SOS Limited because of the firm's poor stock price performance.
SOS announced in a statement today that it has received a letter dated June 27, 2024, from the NYSE informing it that the trading price of its American depositary shares (the "ADSs") has caused it to fall short of compliance standards.
According to NYSE rule 802.01C, if a security's average closing price as reported on the consolidated tape is less than $1.00 for 30 trading days in a row, the company will be considered to be below compliance requirements. Within six months of receiving notice, the company is required to raise both its average share price and share price above $1.00.
During the six-month cure period, the company can restore compliance at any point as long as it maintains a closing share price of at least $1.00 on the final trading day of each calendar month and a closing share price of at least $1.00 on average over the 30-day period of trading expected to end on the final trading of that month.
The NYSE will start suspension and delisting procedures if, at the end of the six-month cure period, neither the $1.00 closing share price on the final trading day of the cure period nor the $1.00 average closing share price over the 30-day period ending on the last trading day of the cure period are reached.
The notice has no immediate effect on the company's ADS listing, which will remain listed and traded on the NYSE for the duration of the cure period, provided that it continues to comply with all other NYSE listing requirements, SOS said in a statement.
BIT Mining disclosed that it had received a letter from the NYSE on July 29, 2022, informing it that it did not meet the exchange's applicable price requirements. Any company whose share price has regularly fluctuated below $1 for 30 trading days faces the possibility of being delisted under this criterion, the report stated. Since June 23, when the miner's shares dropped below $1, they kept trading below the benchmark.
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