Super Micro Computer Inc. received a letter from Nasdaq Inc. granting the company additional time to become compliant with listing rules, easing concerns about delisting. The extension allows Super Micro until February 25 to file its financial report for the fiscal year ended June 30 and its quarterly report for results in the period ended September 30.
The company has faced significant challenges this year, including missing a deadline to file its annual financial report and having its auditor, Ernst & Young LLP, resign due to concerns over governance and transparency. Super Micro is also facing a US Department of Justice probe following a damaging report from short seller Hindenburg Research.
The shares jumped 13% in extended trading after the announcement, as investors welcomed the extension. The stock had previously reached a high of $118.80 but fell to a low of $18.01 amid accounting issues and concerns over delisting. Analysts say the extension can give Super Micro time to file its reports before the deadline.
The company has submitted a plan to come into compliance with Nasdaq rules and recently completed an independent review of its business, which found no evidence of misconduct. Super Micro plans to file its financial documents by the February 25 deadline, as announced in a statement Friday.
Source: https://finance.yahoo.com/news/super-micro-receives-extension-nasdaq-231455715.html