Gold prices hold sharp gains as soft US jobs data fuels Fed rate cut bets
TORONTO/GLIL YAM - IM Cannabis Corp. (NASDAQ:IMCC), currently trading at $2.48 with a market capitalization of $7.65 million, has been granted an extension by Nasdaq to regain compliance with the exchange’s stockholders’ equity requirement, according to a press release statement issued Tuesday. InvestingPro analysis indicates the stock has experienced significant volatility, declining nearly 11% in the past week.
The medical cannabis company, which operates in Israel and Germany, now has until October 6 to meet the minimum $2.5 million stockholders’ equity requirement for continued listing on the Nasdaq Capital Market. According to InvestingPro data, the company generated revenue of $37.85 million in the last twelve months, with a growth rate of 12.68%.
The extension follows a deficiency letter received on April 9, which notified the company of its non-compliance with Nasdaq Listing Rule 5550(b)(1). IM Cannabis submitted a compliance plan to Nasdaq on May 23, resulting in the granted extension.
Despite the current non-compliance status, the company’s common shares will continue trading on the Nasdaq Capital Market under the symbol "IMCC" without immediate effect.
"The Company intends to take all reasonable measures available to regain compliance with the Nasdaq Listing Rules and remain listed on Nasdaq," IM Cannabis stated, while cautioning there is no assurance it will ultimately regain compliance with all applicable requirements for continued listing.
If IM Cannabis fails to evidence compliance by the October deadline, it may be subject to delisting, at which point the company would have the option to appeal the decision to a Hearings Panel.
IM Cannabis describes itself as an international cannabis company that leverages a data-driven approach and globally sourced product supply chain to provide medical cannabis products to patients in Israel and Germany.
In other recent news, IM Cannabis Corp. announced its intention to voluntarily delist its common shares from the Canadian Securities Exchange, while maintaining its listing on NASDAQ. The decision aims to streamline operations and reduce costs associated with dual listings, potentially enhancing long-term liquidity and shareholder value. At the company’s recent annual meeting, shareholders approved all resolutions, including the election of directors and a new equity incentive plan. Additionally, the company completed a significant transaction involving Focus Medical Herbs Ltd., settling the purchase price through the issuance of common shares. IM Cannabis also raised over C$2.3 million through a secured debenture offering, with insiders Oren Shuster and Rafael Gabay participating. However, the company faces a compliance issue with NASDAQ due to not meeting the minimum stockholders’ equity requirement of US$2.5 million. IM Cannabis is exploring options to address this compliance issue and has until May 26, 2025, to submit a plan. The company plans to acquire the remaining 26% interest in Focus Medical Herbs Ltd., with the transaction subject to shareholder approval.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.