On Thursday, Crumbs Bake Shop (CRMB) filed documents with the Securities and Exchange Commission (SEC) indicating that the Nasdaq market would delist CRMB stock at the beginning of next month. Not surprisingly, CRMB shares plunged more than 25% in Friday morning trading.
Crumbs said that a request to maintain its common stock listing had been rejected by Nasdaq. Crumbs has not said if it will appeal the stock market’s decision. The Crumbs delisting comes after its most recent quarterly SEC filing said that there was “substantial doubt as to Crumbs’ ability to continue as a going concern.” The Nasdaq will stop the trading of Crumbs stock on July 1, the New York Times notes.
Founded in New York City in 2003, Crumbs had expanded to 65 outlets in 12 states as of this year. Featuring an array of 4-inch cupcakes topped with candy and icing, Crumbs held its IPO in 2011.
CRMB stock closed at 23 cents a share on Thursday.
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