For the second time in two months, dealership chain Holiday RV Superstores Inc. faces de-listing by the Nasdaq Stock Market for non-compliance with Nasdaq rules.
Holiday RV, which operates six dealership locations, received notice Monday (Sept. 30) that is was not in compliance with several Nasdaq listing requirements.
One Nasdaq requirement is that a listed company have at least 500,000 publicly held shares with a market value of at least $1 million. Holiday RV now has 953,000 shares outstanding and as of mid-day today (Oct. 1), its stock was trading at 80 cents a share, which yields a market value of $762,400.
Other Nasdaq rules require listed companies to have at least $2 million in net tangible assets.
Meanwhile, Holiday RV executives are “currently preparing a restructuring plan to present to Nasdaq,” according to the company. Holiday RV has until Oct. 9 to submit its plan to achieve compliance with Nasdaq’s rules.
If the Nasdaq staff decides that Holiday RV’s restructuring plan is inadequate for satisfying the exchange’s listing requirements, then Holiday RV could appeal.
Holiday RV faced de-listing by Nasdaq in August, but a 10-for-1 reverse stock split effective Aug. 7 restored its compliance with Nasdaq rules, for a time.