DeFi Technologies DEFT stock faces Nasdaq delisting as $1 bid deadline expires

DeFi Technologies has triggered a Nasdaq eligibility review after its US-listed DEFT shares failed to meet the minimum $1 bid requirement by the Sept. 1 deadline, closing Aug. 31 at $0.6032. The company now faces either a second compliance window or a formal delisting determination, following a March 5 notification that the stock traded below the threshold for 30 consecutive sessions. With every August close under $1, a last-day surge could not salvage the required 10-day winning streak, leaving the crypto-linked firm's exchange status in jeopardy.

Extension or delisting notice

Nasdaq can grant a second 180-calendar-day period if DeFi Technologies satisfies the continued-listing requirement for the market value of publicly held shares and all other applicable initial standards for the Nasdaq Capital Market, apart from the bid-price rule.

The company must also notify Nasdaq in writing that it intends to cure the deficiency during the additional period.

If DeFi Technologies does not qualify, or Nasdaq staff concludes it cannot cure the deficiency during a second window, Nasdaq would issue written notice that the shares are subject to delisting. The company could appeal that determination to a Nasdaq hearings panel.

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Shareholders have already authorized the board to conduct a share consolidation of up to 12-for-1. The annual meeting circular left the board to decide whether and when to use that authority, making the consolidation a contingency rather than a committed corporate action.

The authorization allows the board to choose a consolidation ratio up to the approved limit before the next annual meeting, or to take no action. That flexibility gives DeFi Technologies a mechanism for addressing the per-share requirement while leaving the decision dependent on its Nasdaq compliance path.

DeFi Technologies' Aug. 13 management filing still described the company as noncompliant and identified the authorized consolidation as a mechanism available to address the bid-price requirement. Company materials through Sept. 1 showed no scheduled or executed consolidation.

At 11:19 UTC on Sept. 1, the company's public newsroom and SEC submissions contained no announcement of a second compliance period, a delisting determination, regained compliance, or an executed consolidation.