NEW YORK (GenomeWeb News) – CombiMatrix announced after the close of the market Friday that it has received notice from Nasdaq that it does not meet listing requirements and could be delisted from the Nasdaq Global Market.
CombiMatrix received the letter from Nasdaq on Nov. 17. In it, Nasdaq told the Irvine, Calif., company that its stock equity is below the minimum listing requirement of $10 million. CombiMatrix has until Jan. 3, 2011, to provide the exchange with a plan to regain compliance or to apply to transfer to the Nasdaq Capital Market, which has a minimum listing requirement of $2.5 million in stock equity.
As of the end of its third quarter, Sept. 30, the company had $9.3 million in shareholders' equity.
The firm said that it plans to create a plan to satisfy the requirements to remain on the Nasdaq Global Market. If accepted, Nasdaq can extend the deadline up to 180 days from Nov. 17, so that CombiMatrix can show it can carry out the plan. If the plan is rejected, CombiMatrix can appeal the decision to a Nasdaq Hearings Panel. It can also apply to list on the Nasdaq Capital Market.
CombiMatrix is in the midst of restructuring its business in order to reduce costs and to focus on the molecular diagnostics services market. Last week, it reported revenues of $1 million in the third quarter, a 68 percent increase year over year.
In early Monday trade, shares of CombiMatrix were up 1 percent at $2.20.