Mammoth Energy regains Nasdaq compliance for trading

  • May 30, 2020

Oklahoma City’s Mammoth Energy Services has regained compliance with the Nasdaq Stock Market after getting a delisting warning in April.
In a filing with the Securities Exchange Commission, the company explained it had received a Nasdaq notice on April 22, 2020 that for the last 30 consecutive business days, its shares had traded below the minimum of $1 per share requirement. The company had 180 calendar days to regain compliance.
On May 21, Mammoth Energy Service was notified by Nasdaq that it regained compliance with the minimum bid requirement and “this matter is now closed.”

But Mammoth faces another issue with Nasdaq and that is the requirement of at least three members on the company’s audit committee. On May 14, the company revealed that director Jonathan H. Yellen had resigned, thus leaving the company in noncompliance regarding the audit committee requirement.

Nasdaq responded and informed the company it has until the next annual meeting of stockholders or May 8, 2021 to regain compliance.

“In addition, the Company was informed by Nasdaq that an indicator will be broadcasted over Nasdaq’s market data dissemination network noting the Company’s non-compliance, and the Company will be included in a list of all non-compliant Nasdaq companies posted on Nasdaq’s website, specifying the reason(s) for such non-compliance, commencing five business days from May 19, 2020 until the non-compliance is cured by the Company,” stated the SEC filing.

Mammoth indicated it intends to add a third independent director to the Audit Committee and regain compliance with the audit committee requirements prior to the end of the cure period.

Source: SEC

Jerry Bohnen