Newbury Street Acquisition Corp (NASDAQ:NBST), a special purpose acquisition company (SPAC), is set to be delisted from the Nasdaq Stock Market LLC following a notice from the Nasdaq Hearings Panel. The decision, announced on Thursday, will see the company's securities suspended from trading starting Monday.
The delisting notice was issued due to Newbury Street Corp's failure to meet the conditions set by the Panel's previous decision on June 10, 2024. The conditions required the company to complete its business combination with Infinite Reality, Inc. by September 23, 2024, and demonstrate compliance with Nasdaq's initial listing criteria. However, the company's attempt to extend the deadline to March 25, 2025, was not sufficient to satisfy the Panel.
Following the suspension, Newbury Street Corp's units, common stock, and warrants are expected to be traded over-the-counter with the anticipated ticker symbols "NBSTU," "NBST," and "NBSTW," respectively. The formal delisting will proceed after the Nasdaq review and appeal periods have concluded, with Nasdaq filing a Notification of Removal from Listing on Form 25 with the SEC.
The company, along with Infinite Reality, intends to file relevant materials with the SEC, including a registration statement on Form S-4, which will encompass a preliminary proxy statement/prospectus related to the proposed business combination. Once the SEC declares the registration statement effective, Newbury Street Corp will distribute the definitive proxy statement to its shareholders for voting on the business combination and other matters.
This development is a significant turn for Newbury Street Corp, which is currently classified as an emerging growth company. The company's Annual Report for the year ended December 31, 2023, filed on June 5, 2024, and subsequent SEC filings will provide additional information about the directors, executive officers, and their shareholdings.
The information for this article is based on a press release statement.
In addition to the delisting, the company announced the funding date for a $350 million minority investment in Infinite Reality, Inc. This investment is part of a broader strategy following a merger agreement with Infinite Reality, Inc. The specifics of the investment's impact on the company's operations have not been disclosed.
These are recent developments involving Newbury Street Acquisition Corp, and further updates will be provided as they emerge.
InvestingPro Insights
As Newbury Street Acquisition Corp (NASDAQ:NBST) faces delisting, investors may find the latest data and insights from InvestingPro particularly valuable. According to real-time data, NBST has a market capitalization of $53.79 million, highlighting the small size of the company within the market. This is coupled with a negative P/E ratio (last twelve months as of Q1 2024) of -111.77, indicating that the company is not currently profitable. Furthermore, the stock has been trading near its 52-week low, which might suggest a potential undervaluation or reflect the underlying challenges faced by the company.
InvestingPro Tips suggest caution, as the Relative Strength Index (RSI) indicates that the stock is in overbought territory. Additionally, NBST has been grappling with weak gross profit margins, which could be a concern for potential investors. For those interested in more comprehensive analysis, there are additional InvestingPro Tips available at https://www.investing.com/pro/NBST, which could provide deeper insights into the company's financial health and market position.
These metrics and tips could be especially relevant for shareholders and potential investors as they assess the impact of the delisting and consider the company's over-the-counter future.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.