Does NASDAQ accept reverse stock splits as a method to regain compliance with the minimum bid price requirement?
Yes. NASDAQ views reverse stock splits as an acceptable method to regain compliance. If the company determines to implement a reverse stock split, it will need to provide certain information to NASDAQ. See the following Frequently Asked Question for additional information. Furthermore, to inform the market of the reverse stock split, NASDAQ will append a suffix character, “D”, to the company’s symbol for approximately 20 trading days following the reverse stock split.
Related Questions
- What happens if a company does not regain compliance with the minimum bid price requirement during the compliance period?
- Does NASDAQ accept reverse stock splits as a method to regain compliance with the minimum bid price requirement?
- What is NASDAQs compliance process for companies failing to meet the $1.00 minimum bid price requirement?
