Naz has many delisting guidelines. The one that you are referring to is the minimum share price. To violate that the share price must be under one dollar at the close for 30 consecutive trading day's. Once violated they are given notice of delisting proceedings. They do afford them 180 day to meet the continued listing requirement. The requirement is that the stock closes at or above $1 for 10 consecutive trading days.
One of the other listing requirements is that they must maintain at least $2.5M in shareholder equity. I feel they are already in violation of this but it will not be a fact until the quarterly report. They had $2.9M last quarter and lose well over $1M of equity per quarter. This company does not make money so since a loan does not increase equity, their only option will be to dump shares, and you just gave them 10 million new ones....Remember?.
Dump shares and they floor the PPS which will start the delisting process. Do not dump shares to try to prop the PPS and they will start the process on an equity violation.
Oh yes,I almost forgot about that $5M loan that they pretty much blew through that did not show on the books because the creditor had an option to take shares.(Correct me if my memory is failing me here).It was not exercised so equity should get hit by another $5M this quarter. On top of that factor in the new near $200K per quarter they now have to start putting out in order to service this loan conversion.
This company had a great concept, but as with other on-line educational setups, they cannot attract enough customers to justify their position. I think they'll go off the radar map very soon...I'm holding my breath that some co will buy them...maybe Microsoft as they have expressed interest that they want a better on-line educational system, but while that maybe true, I doubt that will come soon enough to save this company.
I know that a company is warned by Nasdaq, that they have 30 days to get the stock value to $1.00+.However,I do not know if a stock value trades up and down and around $1.00,if a company is given another 30 days which this stock has done for awhile.I sold out VCMP two weeks ago.