OceanPal has regained compliance with the Nasdaq stock market’s $1 minimum bid price requirement by combining shares for the second time since being spun off from bulker owner Diana Shipping in late 2021.
The owner of two capesiz bulkers and three panamaxes, which were all built in the mid-2000s, received the compliance notice on Friday after carrying out a 1-for-20 reverse stock split that became effective on 8 June.
OceanPal’s stock price has stayed above $1 since 8 June because the newly combined shares were each worth $3.81 per share as of that date, though it has since then fallen to $1.71 as of Tuesday’s midday trading in New York.
“The company received notification from the Nasdaq Listing Qualifications department of the Nasdaq Stock Market confirming it has cured the minimum bid price deficiency regaining compliance … and this matter is now closed,” the Athens-based company said in a statement.
This is the second time that Robert Perri-led OceanPal’s shares have regained compliance with Nasdaq’s $1 minimum bid requirement after conducting a reverse stock split.
OceanPal first implemented a 1-for-10 reverse stock split in December 2022 to get the share price above $1 after Nasdaq put the owner on notice in March 2022 for letting its shares fall below $1.
The company has cut its share count has diminished significantly as a result of these two reverse stock splits.
The first deal reduced the company’s share count to 10.2m from 102m shares in December 2022. After the company missed more stock in February, the second reverse split lowered the share count to 1.26m shares from 25.2m on 8 June.
