Cardlytics Receives Nasdaq Delisting Notice, Implements 1-for-10 Reverse Stock Split
Summary
Cardlytics received a Nasdaq delisting notice for failing to meet the minimum bid price and is implementing a 1-for-10 reverse stock split to regain compliance, effective June 5, 2026.
Key Events
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Nasdaq Delisting Notice Received
Cardlytics received a letter from Nasdaq on June 3, 2026, notifying it that its common stock bid price closed below $1.00 for 30 consecutive business days, violating listing rules. The company has until November 30, 2026, to regain compliance.
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1-for-10 Reverse Stock Split Implemented
To address the minimum bid price deficiency, Cardlytics is implementing a 1-for-10 reverse stock split, effective June 5, 2026. Trading on a split-adjusted basis will begin on June 8, 2026. This follows shareholder approval on May 20, 2026.
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Authorized Shares Reduced
Concurrently with the reverse stock split, the total number of authorized common shares will be reduced from 100,000,000 to 10,000,000. Post-split, approximately 5.8 million shares will be outstanding.
Analysis
Cardlytics received a formal notice from Nasdaq regarding its failure to meet the minimum $1.00 bid price requirement, putting its listing at risk. In response, the company is immediately implementing a 1-for-10 reverse stock split, previously approved by shareholders, to boost its share price and regain compliance. This action is critical for the company to maintain its Nasdaq listing, but it also highlights the severe pressure on its stock price.
At the time of this filing, CDLX was trading at $0.65 on NASDAQ in the Technology sector, with a market capitalization of approximately $37.4M. The 52-week trading range was $0.57 to $3.28. This filing was assessed with negative market sentiment and an importance score of 9 out of 10.