Oblong (NASDAQ: OBLG) stock plunged during pre-market trading Thursday after the company gained an extension to meet Nasdaq’s minimum bid price requirement for continued listing.
Oblong (OBLG) has secured an additional 180-day extension from the Nasdaq Capital Market to meet the minimum bid price requirement. With this extension, Oblong has until September 16, 2024, to elevate its common stock price to at least $1.00 per share, a target that has proven elusive in recent months.
The Nasdaq’s bid price rule stipulates that listed companies must uphold a minimum closing bid price of $1.00 per share. Since September 21, 2023, Oblong’s stock has consistently traded below this threshold, prompting a notice of non-compliance from Nasdaq. In response, Oblong requested an extension, and Nasdaq granted it, giving the company additional time to address the situation.
To regain compliance, Oblong’s stock must achieve a closing price of $1.00 per share or higher for at least 10 consecutive business days leading up to the new September deadline. Failure to meet this requirement could result in a delisting notification, although Oblong would retain the right to appeal such a decision. However, during this period, Oblong’s common stock will remain listed and traded on the Nasdaq under the ticker symbol, OBLG.
The company has signaled its plan to closely monitor its stock closing bid price and actively explore strategies to comply with Nasdaq’s requirements. However, there is no surety that any actions Oblong takes will help it stay listed.
Oblong (NASDAQ: OBLG) Stock Price Action
As of 04:46 a.m. (Eastern Time) Thursday, OBLG stock traded at $0.1750, marking a 10.21% decrease compared to the previous trading session.
Edward Cooke is a financial analyst, freelance writer, and editor. He has six years of experience in financial journalism. He has an in-depth understanding of equities markets, tracking major indices and providing real-time analysis on stock price movements, corporate earnings, and market sentiment.
