Renewable Energy Group, Inc. (NASDAQ: REGI) rose in late Monday trading, on news that the company will replace Synchronoss Technologies Inc. (NASDAQ: SNCR) in the S&P SmallCap 600 on Tuesday.
NASDAQ has decided to suspend Synchronoss Technologies from its exchange due to noncompliance with listing requirements making the company no longer eligible for continued inclusion in the S&P SmallCap 600.
Synchronoss previously announced that it did not expect to regain compliance with the continued NASDAQ listing requirements prior to May 10, the deadline previously set by the Panel.
Synchronoss continues to work diligently to complete the restatement of its financial statements and regain compliance with its Securities and Exchange Commission (SEC) reporting obligations, which it expects to occur no later than June 30. Although Synchronoss believes its auditors are in the final stages of completing their audit, some matters have taken longer to finalize than initially anticipated.
The notification letter also stated that the Panel has determined to de-list Synchronoss shares from NASDAQ after applicable appeal periods have lapsed. Synchronoss plans to appeal the decision to the NASDAQ Listing and Hearing Review Council. During the appeal period, trading in Synchronoss common stock on NASDAQ will remain suspended, and NASDAQ will not affect a de-listing.
Renewable Energy Group produces and sells biofuels and renewable chemicals. Headquartered in Ames, IA, the company will be added to the S&P SmallCap 600 GICS (Global Industry Classification Standard) Oil & Gas Refining & Marketing Sub-Industry index.
Renewable shares spiked $1.65, or 12%, to $15.40 late Monday afternoon.
