Florida Firm in Crisis: 40% Workforce Cut Triggers Nasdaq Delisting Threat

Florida Firm in Crisis: 40% Workforce Cut Triggers Nasdaq Delisting Threat

As reported by WUSF in October 2023, Florida’s economic landscape provides employees with an edge in the current job market. Nevertheless, not all employers offer entirely secure positions.

Among the Florida-based companies that have conducted layoffs this year are Citibank, vitaCare, and Georgia Pacific, to name a few.

Adding to this list is another Florida employer, which, unfortunately, is at risk of being delisted from Nasdaq.

Concerning Racing Games: On their website, Motorsport Games states that they provide cutting-edge gaming experiences for “gamers, competitors, and viewers across the world.”

The company is based in Miami, Florida. After acquiring equity in 704 Games, Motorsport Games became the official publisher of the Nascar video gaming franchise.

According to the company’s fiscal report for the quarter ending in June 2023, future Nascar titles have been postponed.

The Licensure Sale for Nascar: The company’s website states that it sold iRacing.com the “license for Nascar-themed simulation-style console racing games” in October 2023.

Layoffs Update: In early November 2023, Motorsports Games revealed plans to cut 40% of its workforce in a cost-cutting measure, as reported by Game Developer.

Nasdaq Delisting Concerns: The Nasdaq Listing Center specifies a minimum stockholders’ equity of $2.5 million for continued listing. However, as per The Jacksonville Business Journal’s late November 2023 report, Motorsports Games declared stockholders’ equity of $498,897 for the quarter ending September 2023. The company has until January 2, 2024, to submit a compliance plan to Nasdaq.

With more than two years of expertise in news and analysis, Eileen Stewart is a seasoned reporter. Eileen is a respected voice in this field, well-known for her sharp reporting and insightful analysis. Her writing covers a wide range of subjects, from politics to culture and more.