Nasdaq rules state Astra would be elligible for an extra six-month period if, among other requirements, it showed an intent to get its share price above $1 during the period, either from the stock's natural performance or by executing a reverse-stock split. A reverse-stock split is an often desperate measure in which a company merges a certain number of shares to form a smaller amount of proportionally more valuable shares. Astra is expected to report fourth-quarter results March 30. Within the next few months, analysts say, the company is expected to offer an update on development of Rocket 4, a more powerful successor to its previous rockets that were cancelled after several failures and shifts in market demand. The company's pivot to the larger Rocket 4 has been tested by other financial struggles, including the collapse this month of Silicon Valley Bank, which held 15% of Astra's cash, equivalents and marketable securities. Astra competes with a handful of other firms planning larger rockets like Rocket Lab , Firefly Aerospace and Richard Branson's embattled Virgin Orbit . The firm also competes with larger rockets from companies like Elon Musk's SpaceX, whose missions offering shared rides to space has chiseled away demand for smaller rockets.
(Reporting by Joey Roulette;
Editing by Stephen Coates)
