Page 101 - Initial Public Offering - An Introduction to IPO on Wall Street

they apply to secondary groups, closed-end funds, debt securities, and structured goods, refer
to NASDAQ’s Listing Rules.

Financial Standard Standard 2: Standard 3: Standard 4:
Requiremen 1: Capitalization with Capitalization with Assets with
ts Earnings Cash Flow Revenue Equity
Listing Rules 5315(e) and 5315(e) and 5315(e) and 5315(e) and
5315(f)(3)( 5315(f)(3)(B) 5315(f)(3)(C) 5315(f)(3)(D)
A)
Pre-Tax Aggregate in --- --- ---
Earnings prior three fiscal
(income from years >
continuing $11 million and
operations Each of the prior
before income three fiscal years >
taxes) $0 and Each of the
two most recent
fiscal years >
$2.2 million
Cash Flows --- Aggregate in prior --- ---
three fiscal years >
$27.5 million and
Each of the prior
three fiscal years >
$0
Market --- Average > $550 Average > $850 $160 million
Capitalizati million over prior 12 million over prior 12
on months months
Revenue --- Previous fiscal year > Previous fiscal year > --
$110 million $90 million
Total Assets --- --- --- $80 million
Stockholder --- --- --- $55 million
s’ Equity
Bid Price $4 $4 $4 $4

Liquidity Requirements:

Liquidity Initial Public Liquidity Seasoned Equivalents
Requirements* Offerings and Requirements* Companies: Affiliated
Spin-Off Initial Public Currently Companies
Companies Offerings and Trading Listing
Spin-Off Common Stock
Companies or Equivalents
Seasoned
Companies:
Currently
Trading

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