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Bitcoin miner Argo Blockchain saw an increase of about 14% in its share price after the company gained listing compliance with Nasdaq. This was mainly because of a late December deal with Galaxy Digital to avoid bankruptcy and the recent rise in the price of bitcoin.
Argo's Response to Nasdaq's Non-Compliance Notice
On Dec. 16, Nasdaq notified Argo that its shares didn't comply with the rules to be listed in the exchange because closing bid prices for its stock were below $1 for 30 consecutive days. The miner was given until June 12 of this year to regain its listing privileges with Nasdaq before potentially being delisted from the exchange. However, Argo, whose shares are also listed on the London Stock Exchange, said it met the requirement to continue listing its shares on Nasdaq on Jan. 13, after bids for its shares remained above $1 for 10 consecutive days.
Argo Blockchain Rises from the Dip in its Share Price
The shares of Argo Blockchain had become a penny stock in the latter half of last year when its share price dipped as low as $0.38 on Dec. 16, after the brutal crypto winter weighed heavily on it. In particular, Argo came very close to declaring bankruptcy after being adversely affected by rising energy costs and a steep drop in bitcoin prices.
However, last month, the miner narrowly avoided bankruptcy by agreeing to sell its Helios mining facility in Texas to Michael Novogratz’s crypto-focused financial-services firm Galaxy Digital for $65 million and a $35 million loan.
The shares of the miner have risen more than 400% since its Dec. 16 low to $1.92. On Monday, mining stock peers Marathon Digital (MARA) and Hive blockchain (HIVE) both rose more than 9% while the price of bitcoin rose about 0.6%.