Tower Group International Ltd. said it has received a notification letter from Nasdaq stating that because it has not yet filed its Form 10-Q for the period ended June 30, 2014 with the Securities and Exchange Commission (SEC), Tower is not in compliance with the Nasdaq’s continued listing requirements.
The Nasdaq notice has no immediate effect on the listing or trading of Tower’s common stock on The Nasdaq Global Market. Under Nasdaq listing rules, Tower has 60 days to submit a plan to Nasdaq to regain compliance with the applicable listing rule.
Tower said it expects to file the 10-Q with the SEC within approximately the next 20 days. The 10-Q financial report is due 35 days after the end of each of the first three fiscal quarters.
Tower, a Bermuda- based insurance and reinsurance holding company, has been dealing with downgrades linked to reserving issues and laying off some employees. In January, it agreed to be purchased by ACP Re Ltd. but that has not yet happened.
ACP Re is owned by a trust established by AmTrust Financial Services Inc.’s founder. The agreement called for buying Tower for $3 a share, a price that was later lowered to $2.50.