SILVER SPRING, Md., Oct. 20, 2016 /PRNewswire/ -- RLJ Entertainment (NASDAQ: RLJE) ("RLJE" or the "Company"), the entertainment content distribution company which owns and operates Acorn TV, the premier streaming service for British mystery and drama, and UMC (Urban Movie Channel), the first urban-focused subscription streaming service, today announced receipt of a letter from The Nasdaq Stock Market, LLC ("NASDAQ") stating that the Company has regained compliance with Listing Rule 5550(b).
RLJE had previously been notified by NASDAQ on April 21, 2016 that the Company did not meet the required minimum of $2,500,000 in stockholders' equity needed for continued listing on The NASDAQ Capital Market under Listing Rule 5500(b). On October 17, 2016, the Company announced the completion of transactions which resulted in stockholders' equity in excess of the minimum requirement. The Company has been advised by NASDAQ that NASDAQ will continue to monitor the Company's ongoing compliance with the stockholders' equity requirement and, if at the time of its next periodic report the Company does not evidence compliance, that it may be subject to delisting.
"Maintaining a listing on Nasdaq Capital Market is an instrumental part of our overall corporate strategy," commented Nazir Rostom, Chief Financial Officer of RLJ Entertainment, Inc. "The Board and Senior Management team have taken great steps to regain NASDAQ compliance and we are grateful for our investors' continued support while overcoming this obstacle."
About RLJ Entertainment
RLJ Entertainment, Inc. (NASDAQ: RLJE) is an entertainment content distribution company in primarily North America, the United Kingdom, and Australia. RLJ Entertainment's titles are distributed in multiple formats including broadcast television (including satellite and cable), theatrical and non-theatrical, DVD, Blu-Ray, digital download, and digital streaming.
With its popular OTT branded channels, Acorn TV (British TV) and UMC (Urban Movie Channel), RLJ Entertainment targets distinct, premium audiences and Urban niche audiences. The company grows its proprietary digital channels through development, acquisition, and distribution of exclusive rights of program franchises and feature film content.
Through Acorn Media Enterprises, its UK development arm, RLJE owns all rights to the hit UK mystery series Foyle's War and is developing new programs. RLJE owns 64% of Agatha Christie Limited, which manages the intellectual property and publishing rights to some of the greatest works of mystery fiction, including stories of the iconic sleuths Miss Marple and Poirot.
Forward Looking Statements
This press release may include "forward looking statements" within the meaning of the "safe harbor" provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Other than statements of historical fact, all statements made by RLJE in this press release are forward-looking, including, but not limited to, statements regarding industry prospects, future results of operations or financial position, and statements of RLJE's intent, belief and current expectations about its strategic direction, prospective and future results and condition. In some cases, forward-looking statements may be identified by words such as "will," "should," "could," "may," "might," "expect," "plan," "possible," "potential," "predict," "anticipate," "believe," "estimate," "continue," "future," "intend," "project" or similar words.
Forward-looking statements involve risks and uncertainties that are inherently difficult to predict, which could cause actual outcomes and results to differ materially from RLJE's expectations, forecasts and assumptions. Factors that might cause such differences include, but are not limited to:
- RLJE's financial performance, including its ability to achieve improved results from operations, and Adjusted EBITDA;
- The effects of limited cash liquidity on operational performance;
- RLJE's obligations under the credit agreement, including its principal repayment obligations;
- RLJE's ability to generate sufficient cash flows from operating activities;
- RLJE's ability to raise additional capital to reduce debt, improve liquidity and fund capital requirements;
- RLJE's ability to fund planned capital expenditures and development efforts;
- RLJE's inability to gauge and predict the commercial success of its programming;
- RLJE's ability to maintain relationships with customers, employees and suppliers, including its ability to enter into revised payment plans, when necessary, with its vendors that are acceptable to all parties;
- Delays in the release of new titles or other content;
- The effects of disruptions in RLJE's supply chain;
- The loss of key personnel;
- RLJE's public securities' limited liquidity and trading; or
- RLJE's ability to meet the NASDAQ Capital Market continuing listing standards and maintain our listing.
You should carefully consider and evaluate all of the information about RLJE in this press release, including the risk factors listed above and in RLJE's Form 10-K previously filed with the Securities Exchange Commission (or SEC), including "Item 1A. Risk Factors." If any of these risks occur, RLJE's business, results of operations, and financial condition could be harmed, the price of RLJE's common stock could decline and you may lose all or part of your investment, and future events and circumstances could differ significantly from those anticipated in the forward-looking statements contained in this press release. Unless otherwise required by law, RLJE undertakes no obligation to release publicly any updates or revisions to any such forward-looking statements that may reflect events or circumstances occurring after the date of this press release.
Readers are referred to the most recent reports filed with the SEC by RLJE. Readers are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made, and RLJE undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.
For RLJ Entertainment, Traci Otey Blunt, 301.830.6204; firstname.lastname@example.org
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SOURCE RLJ Entertainment