Newegg Commerce Inc (NASDAQ:NEGG) shares are trading lower by 14.5% to $0.85 Monday morning. The company’s shares are volatile over the past week after Nasdaq indicated non-compliance with the minimum bid price rule. This occurred because their common shares consistently closed below $1.00 per share for 30 business days.
The company has until May 6, 2024, to meet a requirement by maintaining a closing bid price of at least $1.00 for ten consecutive business days. If achieved, Nasdaq will confirm compliance. If they don’t meet this requirement by May 6, they might get an additional 180-day grace period.
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What Else?
Newegg’s board also recently authorized a $10.0 million share repurchase program lasting two years. The company can buy back shares through different methods, depending on market conditions.
They intend to use existing cash and operational cash flows, holding $51.8 million in cash and equivalents as of June 30, to fund these repurchases.
According to data from Benzinga Pro, NEGG has a 52-week high of $3.09 and a 52-week low of $0.52.
