Codere Online pushes back against NASDAQ delisting

Codere Online announced in a press release on Tuesday that on November 12, 2024, the company had received a staff determination letter issued by the Listing Qualifications Department of the Nasdaq Stock Market or NASDAQ for short.

The letter sought to notify the company, that is Codere Online, of the determination of the NASDAQ Staff or simply "the staff" to delist the company’ securities from the stock market. In citing a reason, the staff explained that Codere Online had failed to file a Form 20-F by the appointed deadline on December 31, 2023.

The company to seek a stay on delisting and submit a request for a hearing

Codere, however, has responded arguing that an appeal has been submitted, and a request for a hearing has been lodged with the stock market and the staff. The company insisted that the delay in the submission of Form 20-F has been the result of nothing other than the audit taking longer than expected.

Part of the delay was caused by the engagement of a new independent registered public accounting firm in March 2024. However, Codere Online has clarified that the company has requested a hearing to argue its case which will take place within 30-45 days of the date of the request.

This automatically triggers a 15-day staying period from the date of the request, and Codere Online could request a further stay of the suspension of trading while it awaits its hearing and during the duration of the hearing.

However, Codere Online clarified that as of the time of the press release’s publication, it had not received a determination regarding its request for a further stay of suspension of trading.

Codere prepared to comply with NASDAQ’s ruling either way

Should Codere Online fail to convince NASDAQ to extend the stay on the suspension, the company will have to suspend the trading of its securities at the opening of business on December 4, 2024.

Regardless, Codere Online has remained optimistic about its chances of securing a stay until such a time that a hearing date and the successful resolution of the matter can be achieved. NASDAQ acknowledges that it will comply with the delisting procedure should it not win a temporary reprieve while it continues to work on its Form 20-F filing.

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