What happens if a company violates NASDAQs Voting Rights Rule and Policy?
Violation of the NASDAQ Voting Rights Rule and Policy could result in the company being delisted by NASDAQ and becoming ineligible to list on other markets. Accordingly, it is extremely important that NASDAQ companies contemplating transactions, which may implicate the Rule and the Policy contact NASDAQ as early as possible. Copies of preliminary proxies or other material concerning matters that may implicate the voting rights rule and policy should be furnished to NASDAQ for review prior to formal filing, and companies may request a Staff Interpretative Letter with regard to whether a proposed transaction will be consistent with the rule and policy.
