07 Jul NASDAQ will continue to list Merge
West Allis, Wis.- Merge Healthcare has been informed that its stock will continue to be listed on the NASDAQ for the time being, but the company does not know how long its reprieve will last.
The NASDAQ Listing Qualifications Panel made the determination to continue the listing of Merge’s common stock despite the company’s failure to meet a July 7 deadline for the filing of its annual report for the fiscal year ended December 31, 2005, and required restatements for the quarter ended March 31, 2006.
Merge, which has announced the resignations of three top executives as the result of improper financial reporting, now expects to make these filings by the end of the third quarter of 2006.
The company, a developer of medical imaging and information management software, has requested that NASDAQ grant it an additional extension to regain compliance with the stock market’s listing requirements, but could not predict whether the request would be granted.
Merge is being sued by shareholders who claim the company issued false statements in its 2005 purchase of Cedara Software, which Merge acquired for $325 million. The shareholders, who filed seven class action lawsuits, bought shares of Merge between August 2, 2005, and March 16, 2006.
• No word on NASDAQ extension for Merge
• Merge execs step down following investigation
• Merge president steps down in wake of shareholder suits
• Merge’s merger is the crux of shareholder lawsuits
• Cedara acquisition costs hit Merge Technologies numbers