PlanetOut Inc. Receives Notice From Nasdaq Regarding Non-Compliance

Filed Under Gay Business | August 11th, 2008 

PlanetOut Inc. Receives Notice From Nasdaq Regarding Non-Compliance With Minimum Market Value of Publicly Held Shares — Faces Delisting Proceedings.

LGBT Financial NewsSAN FRANCISCO, CA (PRNewswire-FirstCall) — PlanetOut Inc. (Nasdaq: LGBT), announced today that it received a notice from the Nasdaq Listing Qualifications Department of The Nasdaq Stock Market dated August 1, 2008, stating that, for the previous 30 consecutive trading days, PlanetOut has not maintained a minimum market value of $5,000,000 of publicly held shares (defined as total shares outstanding, less any shares held by officers, directors or beneficial owners of 10% or more of the total shares outstanding), as required for continued inclusion under Marketplace Rule 4450(a)(2) (the “Rule”).

The notice further states that PlanetOut will be provided with 90 calendar days (or until October 30, 2008) to regain compliance. If, at anytime prior to October 30, 2008, the minimum market value of publicly held shares (as defined by the Rule) of PlanetOut’s common stock is $5,000,000 or greater for a minimum of 10 consecutive trading days, then PlanetOut will receive written notification from Nasdaq that it complies with the Rule.

If PlanetOut cannot demonstrate compliance with the Rule by October 30, 2008, the Nasdaq staff will provide written notification that PlanetOut’s securities will be delisted and, at that time, PlanetOut may appeal the determination to a Listing Qualifications Panel.

The notice also states that, alternatively, PlanetOut may apply to transfer its securities to The Nasdaq Capital Market if PlanetOut satisfies inclusion requirements for that market. If PlanetOut submits the transfer application and pays the applicable listing fees by October 30, 2008, the initiation of the delisting proceedings will be stayed by Nasdaq staff pending review of the application.

PlanetOut says that it intends to monitor the minimum market value of publicly held shares (as defined by the Rule) of its common stock between now and October 30, 2008. If its common stock does not trade at a level that is likely to regain compliance, PlanetOut’s board of directors will consider options available to PlanetOut, including applying to transfer PlanetOut’s securities to The Nasdaq Capital Market.

Source: PlanetOut Inc.