8 Sep 2025
📉Nasdaq's Proposed Rule Change on Minimum Bid Price
Self-Regulatory Organizations; The Nasdaq Stock Market LLC; Notice of Filing of Proposed Rule Change To Amend the Application of the Minimum Bid Price Rule in Situations Where a Security Does Not Maintain a Closing Bid Price of Greater Than $0.10 for Ten Consecutive Trading Days
Summary
The Nasdaq Stock Market LLC has filed a proposed rule change to amend its minimum bid price rule, stipulating that securities with a closing bid price of $0.10 or less for ten consecutive trading days will face immediate delisting actions, enhancing investor protection measures and compliance standards for listed companies.
Agencies
- Securities and Exchange Commission
Business Impact
$$$ - High
The proposed rule change accelerates the delisting process for securities that fall below a $0.10 bid price for ten consecutive days, impacting companies' compliance strategies and operational planning. Executives must reassess their stock performance and financial health to avoid penalties.