London: DryShips’ share price has traded below $1.00 for the last 30 consecutive business days, prompting a written notice from NASDAQ, the stock market on which the Athens-based company is listed.
DryShips no longer meets the minimum bid price requirement for the NASDAQ Global Select Market, the notice stated on April 13.
The Economou-led company now has a grace period of 180 days (until October 12, 2015) in which to regain compliance, according to NASDAQ Listing Rules.
DryShips’ stock has plummeted 75.56% over the past year. Its share price lost 2.05% yesterday, closing at $0.77 last night, which shows a 10.01% decline over the past month.
The stock recorded a trading volume of 3.08m shares yesterday, way below its three-month average volume of 5.46m shares.
DryShips says it intends to “cure the deficiency within the prescribed grace period” and will monitor the closing bid price of its common stock between now and the October deadline.
The company says its options include undertaking a reverse stock split, which would reduce the total number of its outstanding shares, therefore increasing its price per share to above the minimum bid price requirement.
Should DryShips fail to comply, it may be eligible for an additional 180-day grace period if it transfers to the Nasdaq Capital Market, providing it meets all other listing standards and requirements.
At the time of writing, the stock is trading at $0.7731, a significant decrease on its 50-day moving average of $0.89.