Charles & Colvard, Ltd has announced it will be delisted from the Nasdaq Stock Market.
According to a company statement, it received a staff determination letter from Nasdaq notifying it that trading of its common stock would be suspended due to non-compliance with Nasdaq Listing Rule 5250(c)(1). This rule requires timely filing of periodic reports, and the company had not filed its Forms 10-Q for the quarters ending September 30 and December 31, 2024.
The company stated that it does not intend to appeal Nasdaq’s decision. It cited cost considerations related to maintaining its Nasdaq listing and compliance obligations as factors in its decision not to request a hearing.
Timeline and Next Steps
Nasdaq is expected to file a Form 25-NSE with the Securities and Exchange Commission to formally remove Charles & Colvard common stock from listing. Trading suspension is scheduled to begin at the opening of business on April 25, 2025.
Following the delisting, Charles & Colvard expects its shares to be quoted on the OTC Experts Market. The company stated that it cannot guarantee that a trading market for its stock will continue on any over-the-counter platform.
