Springbig Holdings, a marijuana industry marketing and loyalty software provider, has been warned by the Nasdaq that its share price has fallen below the stock exchange’s minimum bid price requirement and faces potential delisting unless the company takes action.
The Boca Raton, Florida-based company has until June 19 to bring its stock price to at least $1 per share, according to a Springbig filing with the U.S. Securities and Exchange Commission.
If not, Springbig might be eligible for another 180 days to transfer its stock listing from the Nasdaq Global Market to the Nasdaq Capital Market and improve the share price by way of a share consolidation.
Failing that, the company faces potential delisting from the Nasdaq.
Springbig said in the filing that it “intends to monitor closely the closing bid price of its common stock and to consider options available to it to regain compliance with the Nasdaq listing rules.”
A number of cannabis plant-touching and ancillary companies are currently on Nasdaq’s list of noncompliant companies, including Akerna Corp., Clever Leaves Holdings, Flora Growth Corp., Hexo Corp., Leafly Holdings and The Valens Co.
Springbig went public in June 2022 via a merger with special purpose acquisition corporation (SPAC) Tuatara Capital Acquisition Corp.
Since then, the company’s Nasdaq-listed shares (SBIG) have lost about 87% of their value, closing at 60 cents on Monday.
Springbig laid off almost a quarter of its workforce in late 2022.
Solomon Israel can be reached at solomon.israel@mjbizdaily.com.
