A view from onboard the higher level of rocket LV0009 throughout the corporate’s livestream on March 15, 2022.
Astra / NASASpaceflight
Spacecraft engine producer and small rocket builder Astra on Thursday defined a plan to steer clear of having its inventory delisted from the Nasdaq.
With an exchange-imposed closing date of April 4 drawing close to – and Astra’s inventory nonetheless beneath the $1 a proportion stage it must exceed to stay at the replace – the corporate filed a plan previous this month, searching for an 180-day extension, it stated Thursday.
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If a hit, the enchantment would give Astra till Oct. 1 to get its stocks above $1 for a minimum of 10 consecutive trade days.
“In line with our discussions with representatives of Nasdaq, we predict to listen to again from Nasdaq in regards to the standing of our utility on or round April 5, 2023, and we aren’t acutely aware of any reason our utility would now not be authorized,” Astra CFO Axel Martinez wrote in a weblog submit.
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In its plan, Astra additionally famous the potential for undertaking a opposite inventory break up to get again into compliance with Nasdaq’s record requirements. A opposite break up does now not impact the basics of an organization, as it’s not dilutive to the inventory and does now not alternate the corporate’s valuation, however it might raise the inventory value by means of combining stocks.
A opposite break up can also be observed as an indication an organization is in misery and is attempting to “artificially” spice up its inventory value, or it may be seen as some way for a viable corporate with a overwhelmed up inventory to proceed operations on a public replace. Functionally, a opposite break up, continuously completed as a 1-for-10, would imply a $3 inventory, as an example, would transform $30 a proportion.
“Astra continues to actively observe our record standing and intends to keep our Nasdaq record,” Martinez wrote.
The corporate is anticipated to file fourth-quarter effects after marketplace shut on Mar. 30.
— CNBC’s Scott Schnipper contributed to this file.