Astra Seeks Deadline Extension from Nasdaq to Avoid Delisting

Rocket launch startup Astra Space (NASDAQ: ASTR) has drawn a plan to keep away from a delisting from the Nasdaq. The inventory buying and selling platform gave the small rocket builder a deadline to exceed a share worth degree of $1 or face elimination. This got here after Astra’s share remained beneath $1 for 30 consecutive enterprise days, violating Nasdaq itemizing guidelines. At press time, Astra trades at $0.42, having gained 2.38% in an after-hours buying and selling session. Because the April 4th deadline approaches and Astra stays beneath the required $1 to proceed buying and selling on the Nasdaq, the corporate has moved to file a plan earlier within the month.

Astra Makes Strikes to Keep away from Nasdaq Delisting

As Astra fights for a keep on the Nasdaq, the spacecraft engine producer and rocket launch startup is looking for a 180-day extension to the deadline. The corporate desires the buying and selling platform to think about lengthening the time restrict for its shares to rise above $1. If Nasdaq approves the request, Astra could have until October 1 to get its shares elevated to the required degree or no less than 10 consecutive enterprise days. Astra chief monetary workplace Axel Martinez wrote in regards to the plan for an prolonged relationship with Nasdaq:

“Based mostly on our discussions with representatives of Nasdaq, we count on to listen to again from Nasdaq concerning the standing of our software on or round April 5, 2023, and we aren’t conscious of any purpose why our software wouldn’t be accepted.”

Along with looking for the grace interval from Nasdaq, Astra additionally talked about a possessive reverse inventory break up. The rocket maker is contemplating a reverse inventory break up to fall again in compliance with the itemizing requirements. Firms usually resort to reverse inventory splits to extend the inventory worth by merging shares. It’s usually perceived as a survival route for organizations that need to deliberately increase their inventory costs. Typically, reverse splits are seen as a manner for corporations with crashed inventory to take care of working on public exchanges

Martinez added that Astra is eager on sustaining its buying and selling standing with the inventory trade. He additionally mentioned that it could proceed to maintain an eagle eye on its itemizing standing. In the meantime, the rocket producer has been steadily taking a success. The file reveals a lack of virtually 91% within the final twelve months, which continued because the yr began. The corporate has shed over 3% since 2023 and dipped 8.70% within the final three months. Whereas buying and selling beneath the usual Nasdaq requirement of over $1 per share, Astra inventory plummeted 28.21% over the previous month. It is usually down 2.48% within the final 5 days.

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Ibukun is a crypto/finance author keen on passing related info, utilizing non-complex phrases to achieve every kind of viewers.
Other than writing, she likes to see films, prepare dinner, and discover eating places within the metropolis of Lagos, the place she resides.