22nd Century Group Faces Nasdaq Delisting Warning
Ticker: XXII · Form: 8-K · Filed: Apr 5, 2024 · CIK: 1347858
| Field | Detail |
|---|---|
| Company | 22nd Century Group, Inc. (XXII) |
| Form Type | 8-K |
| Filed Date | Apr 5, 2024 |
| Risk Level | high |
| Pages | 2 |
| Reading Time | 2 min |
| Key Dollar Amounts | $0.00001, $2,500,000 |
| Sentiment | bearish |
Sentiment: bearish
Topics: delisting, compliance, nasdaq
TL;DR
Nasdaq says 22nd Century Group's stock price is too low, risking delisting.
AI Summary
On April 4, 2024, 22nd Century Group, Inc. filed an 8-K report indicating it received a notification from the Nasdaq Stock Market on April 3, 2024. The notification stated that the company is not in compliance with the minimum bid price requirement for continued listing on the Nasdaq Capital Market, as its closing bid price has been below $1.00 for 30 consecutive business days.
Why It Matters
This filing signals a significant risk to 22nd Century Group's stock market listing, potentially impacting its liquidity and investor confidence.
Risk Assessment
Risk Level: high — The company has received a formal notification of non-compliance with Nasdaq's minimum bid price requirement, putting its listing status in jeopardy.
Key Numbers
- $1.00 — Minimum Bid Price (Requirement for Nasdaq listing)
- 30 — Consecutive Business Days (Duration below minimum bid price)
Key Players & Entities
- 22nd Century Group, Inc. (company) — Registrant
- Nasdaq Stock Market (company) — Exchange
- April 4, 2024 (date) — Filing Date
- April 3, 2024 (date) — Notification Date
- $1.00 (dollar_amount) — Minimum Bid Price Requirement
FAQ
What specific rule is 22nd Century Group failing to meet?
22nd Century Group is failing to meet the minimum bid price requirement for continued listing on the Nasdaq Capital Market, which requires a closing bid price of at least $1.00 per share.
When did 22nd Century Group receive the notification from Nasdaq?
The company received the notification from the Nasdaq Stock Market on April 3, 2024.
How long has 22nd Century Group's bid price been below $1.00?
The company's closing bid price has been below $1.00 for 30 consecutive business days.
What is the potential consequence of failing to regain compliance?
The potential consequence is the delisting of the company's securities from the Nasdaq Capital Market.
What is the company's principal executive office address?
The company's principal executive office is located at 500 Seneca Street, Suite 507, Buffalo, New York 14204.
Filing Stats: 564 words · 2 min read · ~2 pages · Grade level 12.8 · Accepted 2024-04-05 11:33:11
Key Financial Figures
- $0.00001 — ge on Which Registered Common Stock, $0.00001 par value per share XXII Nasdaq Capit
- $2,500,000 — mum shareholders' equity requirement of $2,500,000 (the "Shareholders' Equity Requirement"
Filing Documents
- tm2411197d1_8k.htm (8-K) — 24KB
- 0001104659-24-044103.txt ( ) — 193KB
- xxii-20240404.xsd (EX-101.SCH) — 3KB
- xxii-20240404_lab.xml (EX-101.LAB) — 33KB
- xxii-20240404_pre.xml (EX-101.PRE) — 22KB
- tm2411197d1_8k_htm.xml (XML) — 4KB
01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing
Item 3.01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing. On April 4, 2024, 22nd Century Group, Inc. (the "Company") received a deficiency letter from the Nasdaq Listing Qualifications Department indicating that the Company was not in compliance with Nasdaq's Listing Rule 5550(b)(1) because the Company's shareholders' equity for the year ended December 31, 2023 (the "Year"), as reported in the Company's Form 10-K for the Year, was below the minimum shareholders' equity requirement of $2,500,000 (the "Shareholders' Equity Requirement"). The Notice had no immediate effect on the Company's continued listing on Nasdaq, subject to the Company's compliance with the other continued listing requirements. In accordance with Nasdaq rules, the Company has been provided 45 calendar days, to submit a plan to regain compliance with the Shareholders' Equity Requirement (the "Compliance Plan"). If the Compliance Plan is accepted, Nasdaq may grant up to 180 calendar days from the date of the Notice for the Company to regain compliance with the Shareholders' Equity Requirement. The Company intends to timely submit a Compliance Plan to Nasdaq to regain compliance with the Shareholders' Equity Requirement . There can be no assurance that Nasdaq will accept the Company's plan or that the Company will be able to regain compliance with Listing Rule 5550(b)(1) or maintain compliance with any other Nasdaq requirement in the future.
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. 22nd Century Group, Inc. /s/ Lawrence Firestone Date: April 5, 2024 Lawrence Firestone Chief Executive Officer