BARK Regains Compliance with NYSE Continued Listing Standards

Rhea-AI Summary

BARK, Inc. (BARK) has announced that it has regained compliance with the NYSE's Minimum Stock Price Standard, leading to its removal from the noncompliant issuers list. The Company's common stock closed above $1.00 on February 29, 2024, after facing noncompliance due to low stock prices.

Market Research Analyst

Regaining compliance with the NYSE's Minimum Stock Price Standard is a positive signal to investors and the market at large. This compliance indicates that BARK, Inc. has addressed the immediate risk of delisting due to its stock price falling below the $1.00 threshold, which can often be seen as a red flag for financial health and investor confidence. An average closing price above this level over the required period suggests a recovery in investor sentiment or the successful implementation of strategic initiatives aimed at boosting the stock's value.

For stakeholders, this development can be seen as a stabilizing factor, potentially reducing the volatility associated with noncompliance and the threat of delisting. In the short-term, it may lead to increased trading activity as the stock is perceived as less risky. Over the long-term, maintaining compliance is crucial for the company to retain access to capital markets and the benefits of being a publicly traded entity, such as liquidity and the ability to raise capital through equity offerings.

Financial Analyst

The stock price recovery has direct financial implications for BARK, Inc. It may improve the company's ability to attract institutional investors and analysts' coverage, which often have minimum price thresholds for investment. Additionally, a higher stock price can help prevent the dilution of existing shareholders' equity in the event of future capital raises. However, it is important to note that while the stock price is a critical metric, it is not the sole indicator of a company's underlying financial health. Investors should also consider other financial metrics and operational performance indicators when evaluating the company's long-term prospects.

Legal Expert

From a regulatory standpoint, BARK, Inc.'s return to compliance with NYSE standards allows the company to avoid the complex and potentially costly process of delisting and relisting, which can involve significant legal and administrative work. It also helps the company avoid the stigma and potential loss of confidence that can come with being labeled as a noncompliant issuer. It's crucial for the company to continue adhering to these regulations to maintain its listing status and the associated benefits.

NEW YORK--(BUSINESS WIRE)-- BARK, Inc. (“BARK” or the “Company”) (NYSE: BARK), a leading global omnichannel dog brand with the mission to make all dogs happy, announced today that it received a notice from the New York Stock Exchange (the “NYSE”) on March 1, 2024 stating that the Company has regained compliance with the continued listing standards set forth in Section 802.01C (the “Minimum Stock Price Standard”) and will be removed from the NYSE’s noncompliant issuers list.

The Company previously received a noncompliance notice from the NYSE because the average closing price of the Company’s common stock was less than $1.00 per share over a consecutive 30 trading-day period ended November 21, 2023. On February 29, 2024, the Company’s common stock closed above $1.00 and had an average closing share price of at least $1.00 over the prior 30 trading-day period.

About BARK

BARK is the world’s most dog-centric company, devoted to making dogs happy with the best products, services and content. BARK’s dog-obsessed team applies its unique, data-driven understanding of what makes each dog special to design playstyle-specific toys, wildly satisfying treats, great food for your dog’s breed, effective and easy to use dental care, and dog-first experiences that foster the health and happiness of dogs everywhere. Founded in 2011, BARK loyally serves dogs nationwide with themed toys and treats subscriptions, BarkBox and BARK Super Chewer; custom product collections through its retail partner network, including Target and Amazon; its high-quality, nutritious meals made for your breed with BARK Food; and products that meet dogs’ dental needs with BARK Bright®. At BARK, we want to make dogs as happy as they make us because dogs and humans are better together. Sniff around at BARK.co for more information.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240304867354/en/

Investors:

Michael Mougias

investors@barkbox.com



Media:

Garland Harwood

press@barkbox.com

Source: BARK, Inc.

Why did BARK receive a notice from the NYSE?

BARK received a notice from the NYSE due to noncompliance with the Minimum Stock Price Standard.

When did BARK regain compliance with the NYSE's listing standards?

BARK regained compliance with the NYSE's listing standards on March 1, 2024.

What was the reason behind BARK's noncompliance notice from the NYSE?

BARK's noncompliance notice was due to the average closing price of its common stock being less than $1.00 per share over a consecutive 30 trading-day period.

What was the closing price of BARK's common stock on February 29, 2024?

BARK's common stock closed above $1.00 on February 29, 2024.