WILMINGTON, Del., July 21, 2015 /PRNewswire/ -- Acorn Energy, Inc. (NASDAQ: ACFN), an energy technology holding company, today announced that it expects its common stock will begin trading on the OTCQB trading platform operated by OTC Markets Group, effective July 24, 2015.
On July 15, 2015, the Company received a Staff Determination Letter from the Nasdaq Listing Qualifications Department stating that the Company had not regained compliance with the minimum bid price requirement under Listing Rule 5550(a)(2) by July 13, 2015. As a result, the Company's common stock is scheduled for delisting from The Nasdaq Capital Market beginning with the start of trading on Friday, July 24, 2015.
The Company's ticker symbol will remain "ACFN" and the Company will continue to make quarterly and other regulatory filings with the U.S. Securities and Exchange Commission. While the Company expects the trading of its common stock on the OTCQB to commence immediately on July 24, 2015, the stock may temporarily trade on OTC Pink for one or more trading sessions until the transfer to OTCQB is finalized.
John A. Moore, President and CEO of Acorn Energy, stated, "We had until July 13, 2015 to meet Nasdaq's $1 minimum bid price requirement. At this time, our only recourse to regain compliance with the requirement and maintain our Nasdaq listing would have been be to appeal the delisting to a Nasdaq Hearings Panel and submit a plan for regaining compliance which would need to include a commitment to implement a significant reverse stock split. We believe a reverse split of the magnitude that would be required to regain compliance would be detrimental to the interests of our stockholders. We have therefore decided not to pursue a reverse stock split and instead move the trading on our stock to the OTCQB, a quality-controlled segment of the OTC market open only to companies that are registered with the SEC or bank regulators and who are current in their regulatory filings or to foreign companies listed on foreign stock exchanges. We believe this change to have a minimal impact on the ability of investors to hold and trade our stock. We believe after extensive review and discussion that this is the best course to preserve shareholder value. Management and our Board's top priorities are to ensure liquidity, grow revenue and attain profitability at our operating businesses so we can restore shareholder value."
About Acorn Energy, Inc.
Acorn Energy, Inc. is a holding company whose three portfolio companies help their customers achieve greater productivity, reliability, security, and efficiency—factors which can lead to greater profitability. DSIT provides security solutions from underwater threats to naval and marine based energy assets. GridSense® provides monitoring for all critical points along the electricity delivery system. OmniMetrix™ remotely monitors emergency back-up power generation systems to increase their reliability and corrosion protection systems for gas pipelines. For more information visit: http://www.acornenergy.com.
Safe Harbor Statement
This press release includes forward-looking statements, which are subject to risks and uncertainties. A complete discussion of the risks and uncertainties which may affect Acorn Energy's business generally and the businesses of its subsidiaries is included in "Risk Factors" in Acorn's Form 10-K filed with the Securities and Exchange Commission.
Investor & Press Contact:
Paul G. Henning
SOURCE Acorn Energy, Inc.