That’s prompted the New York Stock Exchange (NYSE) to warn Vonage to get its market cap at or above $100 million or get kicked off the exchange.
The NYSE on Feb. 9 reminded Vonage that a company’s average global market cap has to total at least $100 million for 30 consecutive trading days. In a Securities and Exchange Commission (SEC) filing, Vonage said that, within 45 days, it will give the NYSE a roadmap “that demonstrates the company’s ability to regain compliance within 18 months.”
At that point, the NYSE has another 45 days to determine whether it will accept Vonage’s plan. If the NYSE does the proposal, it will monitor Vonage for compliance. If it doesn’t, Vonage will face suspension or delisting.
In the meantime, Vonage shares will continue trading as normal. Vonage said in its SEC document that its business operations, credit agreements and SEC reporting requirements are not affected by the NYSE notice.
This isn’t the first time Vonage has been chastised by the NYSE. Late last October, the Exchange told Vonage to get its share prices above the minimum $1 requirement within six months or face delisting. Vonage is headed into its fourth month of less-than-ideal stock prices – at 11:15 a.m. Eastern today, the company’s shares were trading for 49 cents.