A view from onboard the higher stage of rocket LV0009 throughout the firm’s livestream on March 15, 2022.Astra / NASASpaceflightSpacecraft engine producer and small rocket builder Astra on Thursday outlined a plan to keep away from having its inventory delisted from the Nasdaq.With an exchange-imposed deadline of April 4 drawing close to – and Astra’s inventory nonetheless under the $1 a share degree it must exceed to stay on the change – the corporate filed a plan earlier this month, in search of an 180-day extension, it stated Thursday.If profitable, the enchantment would give Astra till Oct. 1 to get its shares above $1 for at the least 10 consecutive enterprise days.”Primarily based on our discussions with representatives of Nasdaq, we count on to listen to again from Nasdaq concerning the standing of our utility on or round April 5, 2023, and we aren’t conscious of any cause why our utility wouldn’t be authorised,” Astra CFO Axel Martinez wrote in a weblog put up.Enroll right here to obtain weekly editions of CNBC’s Investing in House e-newsletter.In its plan, Astra additionally famous the opportunity of conducting a reverse inventory cut up to get again into compliance with Nasdaq’s itemizing requirements. A reverse cut up doesn’t have an effect on the basics of an organization, as it’s not dilutive to the inventory and doesn’t change the corporate’s valuation, however it will carry the inventory worth by combining shares.A reverse cut up could be seen as an indication an organization is in misery and is making an attempt to “artificially” enhance its inventory worth, or it may be considered as a method for a viable firm with a crushed up inventory to proceed operations on a public change. Functionally, a reverse cut up, usually accomplished as a 1-for-10, would imply a $3 inventory, for instance, would change into $30 a share.”Astra continues to actively monitor our itemizing standing and intends to protect our Nasdaq itemizing,” Martinez wrote.The corporate is predicted to report fourth-quarter outcomes after market shut on Mar. 30.— CNBC’s Scott Schnipper contributed to this report.
Astra outlines plan to avoid Nasdaq stock delisting
