A business whose stocks were delisted from the Nasdaq for violating Rule 5250(c)(1) may recover, complying with the listing demands and having their securities again on the exchange. The actions a firm must take to get relisted and recover compliance rely on the nature of the infringement and the Nasdaq’s standards. A corporation delisted from the Nasdaq for failing to file essential financial reports with the SEC must demonstrate to the exchange that it has adopted and maintained adequate financial reporting procedures and internal controls. Notably, recovering compliance and getting relisted can be complex and time-consuming, and there is no assurance that a delisted business will be able to achieve the relisting standards. In addition, the Nasdaq can accept or reject a company’s relisting application.
A firm which has been delisted under rule 5250(c)(1) can regain compliance with the primary listing requirements and have its listing reinstated; however, this will depend on the circumstances of the delisting along with the steps the firm uses to address the concerns that led to the delisting. The organization must prove that it has remedied the issues that led to its delisting and is in line with all listing standards. Before the company’s listing is revived, it must also submit a request to Nasdaq and get it accepted by the exchange.