Conformis (NSDQ:CFMS) announced today that it is not in compliance with the minimum bid price requirement for continued Nasdaq listing.
The company received a letter from Nasdaq on Dec. 31, 2021, notifying it that the closing bid price for its common stock had been below $1 for the previous 30 consecutive business days, meaning Conformis is not in compliance with the requirement for continued inclusion on the market.
According to a news release, the notification has no immediate effect on the listing of the Billerica, Massachusetts–based company’s common stock on the Nasdaq market.
Under the Nasdaq rules, Conformis has 180 calendar days to regain compliance by having its common stock trade at $1 or higher for a minimum of 10 consecutive business days. Suppose the company does not regain compliance by June 29, 2022. In that case, it may be eligible for an additional 180 calendar days if it meets the continued listing requirement for the market value of publicly held shares and all other listing standards aside from the bid price requirement.
Conformis would need to notify Nasdaq in writing of its intention to cure the deficiency during the second compliance period. If it is not eligible or it appears to Nasdaq that Conformis can not make up the ground during the second compliance period, the company’s stock will be subject to delisting.
If Nasdaq notifies Conformis of its stock being subject to delisting, the company can appeal the determination, but there is no guarantee that Nasdaq would grant its request for continued listing.
Conformis said it will “take all reasonable measures available” to comply with Nasdaq’s listing rules.