Sirius XM says it has received notice from The Nasdaq Stock Market LLC that a hearing is set for April 29th on whether to continue the listing of the satellite radio company on the Nasdaq Global Select Market. Sirius XM has been out of compliance with Nasdaq’s $1 per share minimum price requirement for some time now.
Sirius XM notes that itwill be afforded the opportunity to request continued listing pending its return to compliance with $1 bid requirement.
The hearing before a Nasdaq Listing Qualifications Panel stays all action by Nasdaq, Sirius XM noted. Under Nasdaq’s current Listing Rules, the panel may grant the company up to an additional 180 days from the date of the staff’s most recent notification of non-compliance, or through September 13, 2010, to comply with the Nasdaq bid price requirement. Sirius XM said it does not expect to receive a written decision of the panel for up to 45 days following the hearing.
“The Company intends to take all necessary steps to maintain the listing of its common stock on The Nasdaq Global Select Market. The Company’s stockholders have granted the Company’s board of directors the discretion to effect a reverse stock split, which would bring the Company into compliance with the Nasdaq bid price requirement. While the authority granted to the board expires on June 30, 2010, the Company will seek approval from stockholders at its upcoming annual meeting to extend that authority through June 30, 2011. The board of directors intends to effect the reverse stock split only if it determines the action to be in the best interests of stockholders,” said Friday’s announcement by Sirius XM.
RBR-TVBR observation: If you’re placing bets, the smart money says Sirius XM will continue to be listed on Nasdaq. After all, the stock trades an average of more than 100 million shares per day.