Direct Digital Holdings extends compliance deadline

Published 07/02/2025, 22:14
Direct Digital Holdings extends compliance deadline

Direct Digital Holdings , Inc. (NASDAQ:DRCT), an advertising services company, received an extension from The Nasdaq Stock Market to regain compliance with the minimum stockholders’ equity requirement. The Nasdaq Listing Qualifications Department granted the extension until March 31, 2025, following their review of the company’s compliance plan.

On Monday, Direct Digital was notified that the extension was approved, providing the company with additional time to meet the Stockholders’ Equity Requirement for continued listing on The Nasdaq Capital Market. The company’s initial non-compliance was communicated in a deficiency letter from Nasdaq on October 18, 2024.

The Houston-based company, incorporated in Delaware, plans to take reasonable measures to regain compliance and maintain its listing. Despite the extension, there is no certainty that the company will succeed in completing the plan. Direct Digital’s Class A Common Stock continues to be traded on The Nasdaq Capital Market under the symbol "DRCT," with no immediate impact on its listing or trading due to the non-compliance.

This news contains forward-looking statements, which involve risks and uncertainties. Factors that could affect the company’s ability to continue as a going concern and regain compliance include restrictions from credit facilities, the need for additional financing, and potential delisting if compliance is not achieved. These statements are based on current expectations and assumptions, which may change over time.

Investors are cautioned that the company’s future results may differ materially from those projected in the forward-looking statements. The company has referenced risk factors and uncertainties in its most recent Annual Report on Form 10-K and other filings with the Securities and Exchange Commission.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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