Cryptocurrency mining hardware maker Canaan has received a delisting warning from Nasdaq, Cointelegraph reported on Sunday. Canaan shares have fallen 63 percent over the past 12 months. The stock has closed below $1 over the past 30 days, violating Nasdaq rules.
Nasdaq granted Canaan a 180-day compliance period. It warned that delisting procedures could begin if the company fails to keep its share price at $1 or above for 10 consecutive days during that period.
Canaan is considering additional measures to restore its share price. The company may request a delisting extension from Nasdaq, and is also reviewing a reverse stock split to artificially lift the share price if needed. If the share price does not recover, delisting would be confirmed, making it difficult to trade the stock and likely sharply reducing liquidity, Cointelegraph reported.
Canaan's stock surged 25 percent last October after it signed a contract to sell 50,000 units of its new mining equipment, the Avalon A15 Pro, to a U.S. company, but later resumed falling.
Chi-gyu Hwang
delight@d-today.co.kr