Notice of Delisting or Failure to Satisfy a Continued Listing Rule or St
Item 3.01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing
On April 12, 2016, On Track Innovations Ltd. (the "Company") received approval from the Listing Qualifications Department of The Nasdaq Stock Market ("Nasdaq") to transfer the listing of the Company's ordinary shares from the Nasdaq Global Market to the Nasdaq Capital Market. This transfer will be effective at the opening of business on April 14, 2016. The Nasdaq Capital Market is a continuous trading market that operates in substantially the same manner as the Nasdaq Global Market and listed companies must meet certain financial requirements and comply with Nasdaq's corporate governance requirements. The Company's ordinary shares will continue to trade under the symbol "OTIV."
As previously reported on a Current Report on Form 8-K filed with the Securities and Exchange Commission on October 19, 2015, the Company received a letter from Nasdaq on October 14, 2015 notifying the Company that the Company did not meet the minimum bid price requirement set forth in Nasdaq Listing Rule 5450(a)(1) for continued listing on the Nasdaq Global Market. Following the transfer of its listing, the Company has been granted an additional 180-day grace period to regain compliance with the Nasdaq's $1.00 minimum bid price requirement. To regain compliance and qualify for continued listing on the Nasdaq Capital Market, the minimum bid price per share of the Company's ordinary shares must be at least $1.00 for at least ten consecutive business days during the additional 180-day grace period, which will end on October 10, 2016. If the Company fails to regain compliance during this grace period, its ordinary shares will be subject to delisting by Nasdaq. The Company has provided written notice of its intention to cure the minimum bid price deficiency during the second grace period by carrying out a reverse stock split, if necessary.
