Why iFresh (IFMK) is getting delisted from Nasdaq?

November 22, 2021 02:44 PM PST | By Rupam Roy
 Why iFresh (IFMK) is getting delisted from Nasdaq?
Image source: Piyato,Shutterstock

Highlights

  • iFresh, Inc. (IFMK) announced that it would be delisted from the Nasdaq stock exchange, effective on November 23, 2021.

  • The Nasdaq Hearing Panel has rejected iFresh's appeal against the September decision to delist its common stocks.

  • The Panel concluded that it is “not in the best interests of Nasdaq or the investors of the company” to remain listed on the exchange.

The stocks of iFresh, Inc. (NASDAQ:IFMK) nosedived more than 54% on Monday after announcing it will be delisted from the Nasdaq stock exchange, effective on Nov 23.

The Nasdaq Hearing Panel has rejected its appeal against the September delisting decision.

The IFMK stock traded at US$0.5335 at 3:04 pm ET, down 54.01% from its previous close.

iFresh is a supermarket chain and an online grocery platform based in Long Island City, New York. It offers food products like seafood, vegetables, frozen goods, etc., through its stores.

Also Read: Xbox Series X arriving today at Walmart, Black Friday deals: Details

The company has a total of nine supermarkets, a wholesale business, and an online grocery platform focused on Asian-American customers.

The New York-based supermarket operator said that it received notice from the Nasdaq stock exchange on Nov 19, 2021, for delisting. In the letter, Nasdaq said that its hearings panel has rejected its appeal against Sep 22, 2021, decision to delist its common stock.

iFresh, Inc. (IFMK) will be delisted from the Nasdaq stock exchange on Tuesday, November 23.

What’s next for iFresh?

However, iFresh said that it expects its shares would continue to trade on the OTC Expert Market. In addition, the firm said the stock’s delisting from Nasdaq would not impact its day-to-day operations and services. In a press release, the firm further said that it will seek to strengthen ties with the consumers and the market to boost its business.

Also Read: Why is iSpecimen Inc. (ISPC) stock making headlines today?

Why is iFresh delisted from the exchange?

According to its statement, the company faced two main listing shortcomings based on the Nasdaq rules. First, the panel noted that iFresh failed to hold a timely annual meeting of shareholders for the fiscal year ended on March 31, 2020, which is compulsory under the Nasdaq Listing Rules 5620 (a) and 5810 (c)(2)(G).

Second, the panel noted that the firm did not comply with Nasdaq's filing rule under the Listing Rule 5250 (c)(1). It failed to file its Form 10-K for the year ended on March 31, 2021, and Form 10-Q for the period ended on June 30, 2021.

Also Read: Why ObsEva SA (OBSV) stock jumped on Monday?

Stock performance

The firm has a market cap of US$19.58 million, with an EPS of US$-0.02.

The IFMK stock saw the highest price of US$4.25 and the lowest price of US$0.75 in the last 52 weeks. Its share volume on November 19 was 397,484.

Also Read: Elrond rising on Maiar’s US$1.29-bn incentive boost: How to buy EGDL?

Bottomline

In its verdict, the panel also observed that it is not in the “best interests of Nasdaq or the investors” for the company to remain listed on the exchange. However, despite these shortcomings, the iFresh stocks saw remarkable growth in the recent quarters. The IFMK stock grew 46.08% YTD.


Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media LLC (Kalkine Media, we or us) and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures/music displayed/used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it, as necessary.


Sponsored Articles


Investing Ideas

Previous Next