Codere Online to keep Nasdaq listing

Codere Online Retains Nasdaq Listing, Must File 2023 Annual Report by May

In a pivotal development for Codere Online, the company has secured its Nasdaq listing for the time being, contingent upon filing its annual report for 2023 by the deadline of May 12, as mandated by Nasdaq officials. This decision follows an extension granted by the Nasdaq hearings panel after Codere failed to submit its Form 20-F for the year ending December 31, 2023, in a timely manner.

The Nasdaq issued a notice in November 2023, indicating that Codere Online was at risk of delisting due to non-compliance with regulatory filing requirements set forth by the US Securities and Exchange Commission (SEC). The hearings panel’s ruling on January 16 was an essential reprieve for the company, allowing it a window to complete the necessary paperwork.

Codere Online released an update on February 14, detailing its commitment to comply with the established timeline. The Form 20-F is a critical document that standardizes reporting jurisdictions for companies listed outside the US, and companies are required to make this report accessible to their shareholders via their official website.

In November, Codere acknowledged that the delay stemmed from extensive auditing processes related to its financial statements for the three years concluding December 31, 2023. Following the delisting notice, the company promptly submitted a request for a hearing, a strategic move that allows for a possible extension of trading suspension based on the hearing’s duration.

The Significance of Codere’s Nasdaq Listing

During the hearing, Codere Online presented substantive materials to Nasdaq justifying the appropriateness of maintaining its listing. Had the panel declined Codere’s plea, the company would have faced delisting on December 4, 2023.

Codere articulated that the delay in filing the annual report was attributable to the onboarding of its new independent registered public accounting firm in March 2024, emphasizing their readiness to expedite the compliance process. The panel evaluated Codere’s detailed plan to rectify its reporting status, which includes a focused collaboration with the new auditor to ensure timely submission of the 2023 annual report to the SEC.

Accordant with the granted extension, Codere Online anticipates unveiling its Q4 2023 financial results on February 20, 2024. This crucial milestone will be a testament to the company’s efforts not only to align itself with regulatory expectations but also to reinforce the confidence of its investors and stakeholders in the evolving landscape of the gambling industry.

In summary, Codere Online’s journey underscores the importance of regulatory compliance in the financial markets, particularly within the high-stakes environment of online gambling. As the industry continues to evolve, maintaining transparency and adhering to reporting obligations will be vital for companies seeking sustainable growth and investor trust.