MassRoots Taking Another Stab at Nasdaq Listing

MassRoots, the popular social network for cannabis enthusiasts, is taking another shot at getting listed on the Nasdaq.

The Colorado-based company filed an S-1 registration form on Monday with the Securities and Exchange Commission to raise up to $6.5 million by selling shares and warrants – a key part of the process for getting listed on the Nasdaq.

MassRoots first applied to trade on the exchange last August and filed an earlier S-1 registration form with the SEC in November.

The company, however, failed to meet all of the Nasdaq’s listing requirements.

Most notably, it needed to raise $5 million to meet a shareholder’s equity requirement, but it was only able to secure about $1 million.

This time around, Chardan Capital Markets, a privately held New York investment bank, has reportedly committed to invest $6.5 million in MassRoots.

The company is in its “quiet period” and cannot comment about the offering.

Nasdaq approval would mark a groundbreaking development for the cannabis industry and marijuana stocks at large. To date, nearly all U.S.-based publicly traded cannabis companies are listed on the thinly traded, highly volatile over-the-counter markets.

The Nasdaq has a couple of weeks to issue a formal letter either accepting or rejecting MassRoots’ bid.

MassRoots, which now has about 775,000 users, is listed on the over-the-counter market under the symbol MSRT. Its stock currently trades around $1.50.

According to its annual report, MassRoots had revenue of nearly $214,000 and a net loss of $8.47 million in 2015.

One comment on “MassRoots Taking Another Stab at Nasdaq Listing
  1. Brett Roper on

    Not sure why you would re-file again unless you were able to actually meet all of the requirements? Another S1 filing that may or may not be able to achieve the raised after expenses as well as the burn rate the company is currently experience looks abit tight. This looks like last August’s NASDAQ run but hopefully this time management and the board have it right. Keeping my fingers crossed for Isaac and his team.

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