LiveOne faces potential Nasdaq delisting over share price

Published 03/04/2025, 22:22
LiveOne faces potential Nasdaq delisting over share price

LiveOne, Inc., a company operating under the retail-eating places industry with a market capitalization of approximately $60 million, has received notification from The Nasdaq Stock Market LLC regarding non-compliance with the minimum bid price requirement. The notice, dated March 28, 2025, indicates that LiveOne’s common stock, traded under the symbol LVO on The Nasdaq Capital Market, has not maintained the required $1.00 minimum bid price over the past 30 consecutive business days, violating Nasdaq Listing Rule 5550(a)(2). The stock has experienced significant pressure, declining over 51% year-to-date to its current price of $0.62, according to InvestingPro data.

The company, headquartered in Beverly Hills, California, has been given 180 calendar days, until September 24, 2025, to regain compliance. To achieve this, the closing bid price of LiveOne’s shares must meet or exceed $1.00 for at least ten consecutive business days within this period. InvestingPro analysis shows the company maintains a FAIR financial health score, with the advantage of holding more cash than debt on its balance sheet, though short-term obligations currently exceed liquid assets.

If LiveOne fails to meet the minimum bid price requirement by the end of the 180-day grace period, it may be granted an additional 180 days to comply, provided it meets all other initial listing standards except the Bid Price Rule. The company may consider implementing measures such as a reverse share split to address the deficiency.

In the scenario where LiveOne does not regain compliance, its common stock is at risk of being delisted from The Nasdaq Capital Market. The company would then have the option to appeal the delisting decision to a Nasdaq hearings panel. However, there is no certainty that if LiveOne appeals, the panel will rule in its favor.

As of now, the delisting notice has no immediate impact on the trading of LiveOne’s common stock. The company has stated it will continue to monitor its share price closely and evaluate options to remedy the situation and regain compliance with Nasdaq’s requirements.

This information is based on a press release statement from LiveOne, Inc. and reflects the latest developments regarding the company’s compliance status with Nasdaq listing standards.

In other recent news, LiveOne reported its financial results for the third quarter of 2024, missing both earnings per share (EPS) and revenue forecasts. The company posted an EPS of -$0.06, falling short of the expected -$0.02, while revenue was $29.45 million, below the anticipated $31.35 million. Despite these setbacks, LiveOne has expanded its user base significantly, largely due to a renewed partnership with Tesla (NASDAQ:TSLA), which has been instrumental in attracting new subscribers. The company has also committed $12 million to a stock buyback program, with $6.2 million remaining, indicating confidence in its future prospects.

LiveOne’s strategic initiatives include exploring price increases and new revenue streams, focusing on converting ad-supported subscribers to paid users. The company has achieved record revenues of $95 million in the first nine months of the fiscal year, with its audio business generating over $90 million. Analysts from firms like Alliance Global Partners (NYSE:GLP) have inquired about the details of the Tesla partnership and growth strategies for the podcast network, highlighting the company’s potential for future growth.

Moreover, LiveOne’s partnership with Tesla has resulted in over 800,000 new users, showcasing the effectiveness of their collaboration. The company is also exploring mergers and acquisitions to enhance its business, working with firms such as JPMorgan. These recent developments underscore LiveOne’s efforts to expand its market presence and strengthen its offerings.

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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