The stock of Sorrento Tech Inc (NASDAQ:ROKA) closed at $0.650 losing 31.58% in yesterday’s trading session. Sorrento has contacted NASDAQ Stock Market seeking to have its common stock delisted. If everything goes according to plan, it is expected that in ten days time the stock will have been delisted.
It was back in October that the company called a meeting of its stock holders. It was in that particular meeting that a deal was struck regarding the sale of all the company’s assets. The stockholders proceeded to call upon the dissolution and liquidation of the company. It was in November that the Asset Sale closed and at the moment the company is making plans to move ahead and file its certificate of dissolution with the Secretary of State of the State of Delaware.
This particular decision wasn’t arrived at in a blink of an eye. Reports indicate that the Board of Directors had for over quite sometime reviewed a number of factors. The first thing it considered was the cost of preparing as well as filing periodic reports with SEC .It also considered a series of expenses and costs that were associated with the maintenance of a company’s status as a public company.
One of the officials working with the company said, “Following the delisting of the Company’s common stock, the Company intends to file a Form 15 with the SEC to voluntarily effect deregistration of its securities under the Securities Exchange Act of 1934, as amended. The Company expects that its obligation to file periodic and current reports, will be suspended upon the filing of the Form 15.”
Sorrento has been a top performer many at times and that is why its recent decision might be a shocker to many. Market dynamics are for real. They motivate the various companies globally to struggle for the top spots in the market.
Its remarkable performance shouldn’t be mistaken for the absence of challenges .From time to time that company has come across numerous challenges. The best part was that it was able to move past most of them. A lot of people might move out to criticize the new move, but the bottom-line is that it is for the best.