Satellite Radio Firm WorldSpace Receives Nasdaq Listing Warning

Authored by Mark Hefflinger on August 30, 2006 - 12:54pm.

Silver Spring, Md. - WorldSpace Satellite Radio, a provider of satellite radio service to subscribers in foreign countries, said on Wednesday that it has received a letter from the Nasdaq warning that it no longer complies with a rule requiring a minimum $50 million market value for continued listing. As of Aug. 23, the Nasdaq said that WorldSpace's market value had sunk to $47.8 million. To regain compliance, The company said that it has agreed to a deal with its largest shareholder, Yenura, that will result in the issuance of another 17.4 million shares of stock, increasing its total number of shares outstanding to nearly 39 million. "The company believes that the issuance and listing of these additional Class A shares will resolve the aggregate trading value deficiency and bring the company back into compliance with the Nasdaq listing requirements," said WorldSpace in a statement.

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