|
FINANCIAL REQUIREMENTS
Companies must meet all of the criteria under at least one
of the three financial standards.
|
Applicants must satisfy one of the following tests: |
|
|
National Market |
Capital
Market |
|
Financial performance and/or valuation requirements |
|
Criteria |
Equity
+ income test |
Equity
and operation test |
Equity
+Valuation Test |
Income
or equity or valuation test |
|
Latest
year or in 2 of the last 3 years |
Total
revenue |
- |
- |
US$75 m |
|
|
Pre-Tax
income |
US$ 1 m |
- |
- |
- |
|
Net
income |
- |
- |
- |
US$
750,000 |
|
Total
assets |
- |
- |
US$ 75
m |
- |
|
Shareholder’s equity |
US$ 15
m |
US$ 30
m |
- |
US$ 5 M |
|
Operations and Management |
|
History
of Operations |
|
2 years |
|
|
|
Other requirements |
|
Market
Capitalization |
- |
- |
US$ 75
m |
US$ 5 m |
|
Public
float (value) |
US$ 8 m |
US$ 18
m |
US$ 20
m |
US$ 5 m |
|
Public
float (shares) |
1.1
million |
1
million |
|
Market
Makers |
3 |
3 |
4 |
3 |
|
Minimum
number of investors |
400 each
holding 100 or more shares |
|
|
Minimum
bid price |
US$ 5
per share |
US$
4/share |
|
Accounting must be done to US GAAP, of with
reconciliation to it. |
NASDAQ Global Select Market
On July 1st 2006, NASDAQ introduced the Global
Select Market.
INITIAL LISTING
To have their securities list on The NASDAQ Global Select
Market, companies must meet specific financial and liquidity
requirements.
NASDAQ Global Select Market Financial Requirements1
|
Requirements
|
Standard 1 |
Standard 2 |
Standard 3 |
Marketplace Rules
|
|
Pre-tax earnings
(income from
continuing
operations before
income taxes) |
Aggregate in prior three fiscal years > $11 million
and
Each of the two
most recent fiscal years > $2.2 million
and
Each of the prior
three fiscal years
> $0 |
N/A |
N/A |
4426 (c)(1)
|
|
Cash flows |
N/A |
Aggregate in prior
three fiscal years
> $27.5 million
and
Each of the prior
three fiscal years
> $0 |
N/A |
4426 (c)(2) |
|
Market
capitalization |
N/A |
Average > $550 million over prior
12 months |
Average > $850 million over prior
12 months |
4426 (c)(2)(C)
4426 (c)(3)(A) |
|
Revenue |
N/A |
Previous fiscal year
> $110 million |
Previous fiscal year
> $90 million |
4426 (c)(2)(C)
4426 (c)(3)(B) |
|
Bid price |
$5.00 |
$5.00 |
$5.00 |
4426 (d) |
|
Market maker |
3 |
3 |
4 |
4310 (c)(1) |
|
Corporate governance |
Yes |
Yes |
Yes |
4350, 4351 &
4460 |
LIQUIDITY REQUIREMENTS
Companies must meet each of the three liquidity
requirements, or the applicable alternatives, in their
specific category for initial inclusion on The NASDAQ Global
Select Market. The charts below are presented in two
separate groups: (i) new company listings; (ii) seasoned
companies
NASDAQ Global Select Market Liquidity Requirements
New Company Listings Only
|
Requirements |
Initial Public Offerings and Spin Off Companies |
Affiliated Companies |
Companies Emerging from Bankruptcy |
Marketplace Rules |
|
Beneficial
Shareholders |
2,200 |
450 |
450 |
4426 (b)(1) |
|
Publicly held
shares |
1,250,000 |
4426 (b)(2) |
|
Market value of
publicly held shares
or
Market value of
publicly held shares
and
Shareholders
Equity |
$70 million |
$70 million |
$110 million
or
$100 million
and
$110 million |
4426 (b)(3)
|
|
Seasoned Securities Only |
|
Requirements |
Companies Currently Trading Common Stock or
Equivalents |
Affiliated Companies |
Marketplace Rules
|
|
Beneficial shareholders
Or
Beneficial shareholders
And
Average monthly trading volume over past twelve
months |
2,200
Or
550
And
1.1 Million |
450 |
4426(b)(1) |
|
Publicly held shares |
1,250,000 |
1,250,00 |
4426(b)(20 |
|
Market value of publicly held shares
Or
Market value of publicly held shares
And
Shareholders equity |
$110 million
Or
$100 million
And
$110 million |
$70 million |
4426(b)(3) |
CONTINUED LISTING
Companies listed on The NASDAQ Global Select Market must
meet all of the requirements under at least one of the
standards for continued inclusion.
NASDAQ Global Select Market Financial Requirements
|
Requirements |
Standard 1
Marketplace Rule 4450(a) |
Standard 2
Marketplace Rule 4450(b) |
|
Stockholders’ equity |
$10 million |
N/A |
|
Market value of listed securities
or
Total assets and total revenue |
N/A |
$ 50 million
Or
$50 million and $50 million |
|
Publicly held shares |
750,000 |
1.1 million |
|
Market value of publicly held shares |
$5 million |
$ 15 million |
|
Bid price |
$1 |
$1 |
|
Shareholders (round lot holders) |
400 |
400 |
|
Market makers |
2 |
4 |
|
Corporate governance |
Yes |
Yes |
|
