Owner and operator of drybulk carriers and tankers DryShips has received notification from the Nasdaq Stock Market, indicating that because the closing bid price of the company’s common stock for the last 30 consecutive business days was below $1.00 per share, the company no longer met Nasdaq’s minimum bid price requirement.
Pursuant to the Nasdaq Listing Rules, the applicable grace period to regain compliance is 180 days, or in this particular case, until October 12, 2015.
DryShips said it intends to monitor the closing bid price of its common stock between now and October 12, 2015 and is considering its options, including a reverse stock split, in order to regain compliance.
The company can cure this deficiency if the closing bid price of its common stock is $1.00 per share or higher for at least ten consecutive business days during the grace period.
Should the company fail to regain compliance within the grace period and it meets all other listing standards and requirements, it may be eligible for an additional 180-day grace period if it transfers to the Nasdaq Capital Market.
However, DryShips said it was committed to cure the deficiency within the prescribed grace period.
During this time, the company’s common stock will continue to be listed and trade on the Nasdaq Global Select Market.
The company stressed that its business operations were not affected by the receipt of the notification.