RLJ Entertainment has received notice from the Nasdaq Stock Market it is out of compliance due to its stock price trading below the $1 threshold.
The home entertainment content producer and distributor has until July 11 to regain compliance by having its share price close at or above $1 for 10 consecutive business days. The company is considering a reverse stock split to raise the share price.
RLJ, based in Silver Springs, Md., is the parent of Image Entertainment in Chatsworth. RLJ’s area offices are in Woodland Hills.
If RLJ does not regain compliance by July 11, the company may be granted a second 180-day grace period. If it does not comply with the share price regulations after that time, the company can be delisted.
Shares closed unchanged at 50 cents on the Nasdaq.