NEW YORK - Metal Sky Star Acquisition Corporation (NASDAQ:MSSA), a special purpose acquisition company (SPAC), has been notified by Nasdaq of potential delisting due to non-compliance with listing rules. The notice, dated September 5, 2024, cites the company's failure to file its quarterly report on time and not meeting the minimum requirement of 400 public holders.
The quarterly report in question covers the period ending June 30, 2024. The delay in filing has triggered Nasdaq's Listing Rule 5250(c)(1), which requires timely financial disclosures. Additionally, the lack of sufficient public holders poses a separate compliance issue for maintaining the company's listing on the Nasdaq Global Market.
In response to the notice, Metal Sky Star is scheduled to attend a hearing with the Nasdaq Hearings Panel on September 19, 2024. The company intends to present its case and plans to resolve the deficiencies before the hearing date.
Metal Sky Star Acquisition Corporation, incorporated in the Cayman Islands, is designed to facilitate mergers, acquisitions, and other business combinations with one or more businesses. The company's future plans and operational strategies are outlined as forward-looking statements in the press release, which are subject to various conditions and risks.
The press release also emphasizes that Metal Sky Star does not commit to updating these forward-looking statements post-release date, except as law requires. The company's contacts and additional information are provided, but the focus remains on the potential delisting situation and the steps the company is taking to address Nasdaq's concerns.
This news article is based on a press release statement from Metal Sky Star Acquisition Corporation.
In other recent news, Metal Sky Star Acquisition Corporation is at risk of being delisted from the Nasdaq Capital Market. This development stems from the company's failure to comply with filing requirements, including the completion of a business combination within the stipulated 36-month period post its initial public offering (IPO). Additionally, the company did not submit its quarterly report for the period ending March 31, 2024, and its annual report for the year ending December 31, 2023, in a timely manner. These delays serve as further grounds for potential delisting. Metal Sky Star's securities, including units, ordinary shares, warrants, and rights, could face suspension starting August 16, 2024, unless the company successfully appeals before the Nasdaq Hearings Panel. Metal Sky Star has until August 14, 2024, to request a hearing to challenge the delisting notice. Should the company request a hearing, it can also seek to delay the suspension until the conclusion of the hearing. The Nasdaq panel will then make a decision on the request for an extended stay within 15 calendar days following the hearing request deadline. These are some of the recent developments surrounding the company.
InvestingPro Insights
Amid the potential delisting challenges faced by Metal Sky Star Acquisition Corporation (NASDAQ:MSSA), investors are closely monitoring the company’s financial metrics. As of the latest data, MSSA has an adjusted market capitalization of approximately $72.98 million. The company's P/E ratio stands at 46.73, but when adjusted for the last twelve months as of Q4 2023, it shows a more favorable figure of 36.0. This P/E ratio, in light of the company's near-term earnings growth, suggests that MSSA is trading at a relatively low multiple compared to its growth potential, an InvestingPro Tip that could be of interest to value-oriented investors.
Another notable InvestingPro Tip for MSSA is its position near the 52-week high, with the price at 97.76% of this peak. This could indicate a strong market sentiment towards the stock, despite the recent compliance issues. Additionally, the company has remained profitable over the last twelve months, with a basic and diluted EPS (Continued Operations) of $0.24.
For investors seeking further insights, InvestingPro offers additional tips on Metal Sky Star Acquisition Corporation, such as the company's low price volatility and its tendency to move inversely to market trends. These factors, along with comprehensive metrics, are available to help users make more informed investment decisions. To explore these insights, visit https://www.investing.com/pro/MSSA for a total of 11 InvestingPro Tips that provide a deeper dive into MSSA's financial health and market position.
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