SNDL Inc. has begun trading under the Canadian Securities Exchange symbol SNDL. It will continue to be listed on Nasdaq. IM Cannabis Corp. CSE: IMCC NASDAQ: IMCC said they received notice from Nasdaq saying that the stockholders equity requirements for continuing listing had been violated. They have until May 26 to present a compliance plan.
SNDL stock was trading at $1.3950, up 1.82%, as of the morning of Friday, following the CSE’s announcement. The stock, however, has been struggling with a 22.07% year-todate drop and a 33.25% one-year decline, according to Yahoo Finance.
Zach George, SNDL’s CEO said: “Listing at the CSE increases SNDL’s structural flexibility. It also creates options for our shareholders and reinforces our commitment to Canadian markets.” As regulated markets evolve, we can now pursue growth with more agility. This is in line with our vision.
According to SNDL’s statement, the CSE regulatory framework supports specifically cannabis companies that have exposure in the U.S. This could lead to future opportunities as SNDL continues its growth. SNDL operates Canada’s biggest private liquor and cannabis retail company, despite a market that is becoming more crowded. The company says they are continuing to grow their consumer facing cannabis brands, while searching for strategic capital investment opportunities in North America. The retail banners include Ace Liquor Wine and Beyond Liquor Depot Value Buds Spiritleaf and Superette.
IM Cannabis is a company that operates in Israel as well as Germany. It received the Nasdaq Notification after reporting stockholder’s equity of $2.2M in its filing. This was below the $2.5M minimum required for Nasdaq Capital Market. On Friday, the company’s stock was down by 0.75% at $1.3299. The stock has declined 42.65% over the last year and 69.51% in the current year.
IM Cannabis can submit a compliance program within 45 days (until May 26) and, if Nasdaq accepts it, they could get up to a 180-day calendar period to regain their compliance.
“The business operations of the company are not affected,” IM Cannabis declared, adding that the firm is “examining various options” to regain its compliance.
It also plans to purchase the remainder 26% of Focus Medical Herbs Ltd. owned jointly by IMC and Ewave Group Ltd. To preserve IMC’s financial stability, the purchase will be made through common shares instead of cash.