Wag! Group Co.
09/27/2024 | Press release | Distributed by Public on 09/27/2024 14:21
Failure to Satisfy Listing Rule Form 8 K
Item 3.01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing.
On September 24, 2024, Wag! Group Co. (the "Company") received a written notice from the staff (the "Staff") of the Listing Qualifications Department of the Nasdaq Stock Market ("Nasdaq") notifying the Company that for 30 consecutive business days from August 9, 2024 to September 23, 2024, the closing bid price for the Company's common stock listed on the Nasdaq Global Market (the "Global Market") was below $1.00 and no longer meets the minimum bid price requirement for continued listing on the Global Market under Nasdaq Listing Rule 5450(a)(1), which requires a minimum bid price of $1.00 per share (the "Minimum Bid Price Requirement"). The Staff also notified the Company that from August 8, 2024 to September 23, 2024 the Company's Market Value of Listed Securities ("MVLS") was below the $50,000,000 required for continued listing on the Global Market (the "MVLS Requirement") under Nasdaq Listing Rule 5450(b)(2)(A).
The notification has no immediate effect on the listing of the Company's common stock and does not result in the immediate delisting of the Company's common stock from the Global Market. In accordance with Nasdaq Listing Rules 5810(c)(3)(A) and 5810(c)(3)(C), the Company has a period of 180 calendar days or until March 24, 2025, to regain compliance with the Minimum Bid Price Requirement and the MVLS Requirement. If at any time before March 24, 2025, the bid price of the Company's common stock closes at or above $1.00 per share for a minimum of 10 consecutive business days and the Company's MVLS closes at $50,000,000 or more for a minimum of 10 consecutive business days, Nasdaq will provide written notification that the Company has achieved compliance with the Minimum Bid Price Requirement and the MVLS Requirement, respectively.
The notification letter also disclosed that in the event the Company does not regain compliance with the Minimum Bid Price Requirement and the MVLS Requirement by March 24, 2025, the Company will receive written notification that its securities are subject to delisting. At that time, the Company may appeal any delisting determination. However, there can be no assurance that, if the Company receives a delisting determination and appeals the delisting determination, such appeal would be successful. Alternatively, the Company can consider applying for a transfer to the Nasdaq Capital Market (the "Capital Market") which would require, among other things, meeting the continued listing requirements of the Capital Market.
The Company intends to monitor the closing bid price of its common stock and the Company's MVLS and to consider options to resolve the non-compliance with the Minimum Bid Price Requirement and MVLS Requirement. There can be no assurance that the Company will regain or maintain compliance with the applicable continued listing standards set forth in the Nasdaq Listing Rules.
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