technology customer engagement
Published on : Nov 11, 2022
Nasdaq Grants Extension For Share Price Compliance
Non-Convertible, Unsecured Term Loan Provides Additional Funds for Growth and Working Capital
Verb Technology Company, Inc. (Nasdaq: VERB) (“VERB” or the “Company”), a leader in interactive video-based sales enablement applications, including shoppable livestream, has completed a financing transaction with an accredited, family office investor, which provided gross proceeds to VERB of $5.0 million. The transaction was structured as a non-convertible, unsecured term loan (the “Loan”). The Loan accumulates interest at the rate of 9% per annum and matures on May 7, 2024.
“It’s no secret that the current economic conditions have impacted the capital markets, making fundraising a far more difficult process,” stated Rory J. Cutaia, VERB CEO. “While there are limited options available to most companies, our Board members and management worked together in evaluating financing proposals, and determined that it was in the best interests of the Company and our stockholders to proceed with a non-convertible, unsecured term loan structure, with no warrant or other equity component, to provide funds for growth and working capital. This is the second financing the Company has completed in the past three weeks, bringing our aggregate gross proceeds from the financings to $9.0 million. We believe these financings, together with a recently implemented comprehensive cost reduction plan that I will discuss in greater detail during our upcoming earnings call, give VERB a solid basis to move forward through the fourth quarter and into 2023.”
Extension of Nasdaq Compliance Period
On November 9, 2022, the Company received a written notification from the Nasdaq Stock Market confirming that the Company has been granted an additional 180-day period – or until May 8, 2023 – to regain compliance with the $1.00 minimum closing bid price requirement for continued listing on the Nasdaq Capital Market. Nasdaq’s determination was based on the Company meeting all of the continued listing requirements of the Nasdaq Capital Market, with the sole exception of the minimum bid price requirement, and the Company’s confirmation of its intention to cure the deficiency during the compliance period. If, at any time during the additional compliance period, the closing bid price of the Company’s common stock is at least $1.00 per share for a minimum of ten consecutive trading days, Nasdaq will provide written confirmation of compliance. The Company will monitor the closing bid price of its common stock and intends to take such actions as are necessary to regain compliance with the minimum bid price requirement to ensure its common stock continues trading on the Nasdaq Stock Market.