Falling division


As of March 14 junket group Iao Kun Group Holding Company Limited shares listing was transferred from the Nasdaq Global Market to Nasdaq Capital Market for failure to comply with minimum bid price requirements, a U.S. Securities and Exchange Commission (SEC) release has announced.
According to the release, Nasdaq Listing Rules demand that listed securities maintain a minimum bid price of US$1.00 (MOP8) per share. Iao Kun Group failed to meet the minimum for 30 consecutive business days, ending September 12, 2016.
The group was then granted a 180-day period to comply but failed to do so until March 13 of this year, and was thus downgraded to the Nasdaq Capital Market.
The Nasdaq Stock Market manages different tiers of companies with different requirements for listings, with the Nasdaq Global Market comprising companies with higher market capitalisation than companies listed on the Nasdaq Capital Market.
Iao Kun Group has also been granted an additional 180 days, until September 11 of this year to regain the US$1 bid price for its ordinary shares for a minimum of ten consecutive business days in order to receive a compliance confirmation from Nasdaq.
At the beginning of the month the local company announced it had completed the 51 per cent share purchase of software technology development group Guangzhou LiNiu Network Technology Co. Ltd., a company currently developing an electronic trading platform for the Chinese agriculture industry.
The move was described by the company as an attempt to diversify its business into non-gaming sectors, with the company currently only operating one VIP room in Macau at the City of Dreams of Melco Crown Entertainment Ltd.