SUNNYVALE, Calif.-Proxim Corp. said it has received notice from the Nasdaq Stock Market Inc. that it has failed to meet minimum bid requirements and could be delisted.
The company’s share price has closed below the $1 per-share minimum requirement for at least 30 days. Proxim has 180 days, or until Nov. 30, to bring itself into compliance, which entails achieving a bid price of $1 or more for at least 10 consecutive trading days.
In May, Proxim made filings with the Securities and Exchange Commission detailing financial troubles that it said could lead it to file for bankruptcy protection. In addition to incurring substantial losses and negative cash flows in the last several quarters, the company owes payments to Symbol Technologies as part of a patent settlement agreement. Proxim is unable to issue additional securities to raise funds because its unaffiliated market capitalization has fallen below $75 million, it said.
Earlier this year, Proxim hired Bear, Stearns & Co. to help it explore options for raising capital or combining with another company.
