NationalHoldings Corp. has received a notification from the Nasdaq StockMarket that the company no longer complies with a listing rule due to its failureto hold an annual stockholders meeting within 12 months of the end of thecompany's fiscal year ended Sept. 30, 2015.
As of Oct. 3, National Holdings had 45 calendar days tosubmit a plan to regain compliance. If Nasdaq accepts the company's plan, Nasdaqcan grant an exception of up to 180 calendar days from the fiscal year end, oruntil March 29, 2017, to regain compliance.
During National Holdings' 2016 fiscal year, the companynegotiated and closed the tenderoffer under its agreement and plan of merger with Fortress BiotechInc. and FBIO Acquisition Inc. In the merger agreement, the company agreed that it would nothold its 2016 annual stockholders meeting prior to the time that FBIOAcquisition accepted for payment all shares that were validly tendered and notwithdrawn prior to the expiration time of the tender offer. FBIO Acquisitionaccepted for payment all validly tendered shares Sept. 12.However, the merger condition was not satisfied because FBIO Acquisition'stender offer failedto secure 80% of National Holdings' stock.
National Holdings intends to submit to Nasdaq a plan toregain compliance within the next 10 days, according to an Oct. 7 filing. Underits plan, the company will try to hold an annual stockholders meeting inJanuary 2017.