WPTE Threatened By NASDAQ Expulsion
Published on 21 Aug 08 11:04 by Drakhor
The World Poker Tour Enterprise (WPTE) has been threatened by expulsion from the NASDAQ as the stock price fell below $1 in early August. About three years ago, the share was traded at almost $30.
This morning, a share of the company was only worth about $0.80. The problem: This is against the NASDAQ rules which require a company to be traded for at least $1.
If a share closes with a value below $1.00 for 30 consecutive working days, it will be excluded from the NASDAQ. The WPTE share made it within the guidelines last time on August 7th 2008 with exactly $1.00, but it has continuously fallen since to now only about $0.80.
On August 14th, NASDAQ informed the company of the impending expulsion. The WPTE now has 180 days to stabilise the price and turn it around. In these 180 days, the share has to close above $1 on at least ten consecutive working days.
For the WPTE, an expulsion from the NASDAQ would virtually be a catastrophe. The company has already been struggling for quite some time, and it's no real surprise that the corporate management has announced measures. However, it is not yet known what those measures are exactly.
