IM Cannabis provides update on Nasdaq listing deficiencies

IM Cannabis (IMCC) announced corporate updates. On April 9, the company received a deficiency letter from the Nasdaq Listing Qualifications Department notifying the company that it is not in compliance with Nasdaq Listing Rules which require the company to maintain a minimum of $2.5M in stockholders’ equity for continued listing on the Nasdaq Capital Market, nor is it in compliance with either of the alternative listing standards, market value of listed securities of at least $35M or net income of $500K from continuing operations in the most recently completed fiscal year, or in two of the three most recently completed fiscal years. On May 23, the company submitted to Nasdaq its plan to regain compliance with Nasdaq. Based on the Compliance Plan, on June 25, Nasdaq notified the company that it had determined to grant the company an extension of time to regain compliance with the Stockholders’ Equity Requirement until October 6. If the company fails to evidence compliance by the required deadline, the company may be subject to delisting. The company intends to take all reasonable measures available to regain compliance with the Nasdaq Listing Rules and remain listed on Nasdaq. Neither the Letter nor the company’s current noncompliance have an immediate effect on the listing or trading of the company’s common shares.