MGT Capital Investments, Inc.: NYSE AMEX LLC Receives Extension Related to Plan of Compliance
NEW YORK--(BUSINESS WIRE)--
MGT Capital Investments, Inc. ("MGT" or "the Company") (AMEX: MGT.BC), a
holding company with operations in the healthcare industry, today
announced that on February 17, 2012 it received notice from the staff of
the NYSE Amex LLC (the "Exchange") that the Company was granted an
extension until March 31, 2012 for the Company to comply with Section
1003 (f) (v) of the Exchange's Company Guide. The Exchange noted that
the Company could regain compliance by effectuating a reverse-split of
its common stock. The Company plans to effectuate a reverse split of its
common stock prior to March 31, 2012. As previously disclosed, on June
8, 2011 the Exchange notified the Company that it is not in compliance
with Section 1003(a)(i) of the Company Guide since it reported
stockholders' equity of less than $2,000,000 at March 31, 2011 and
losses from continuing operations and net losses in two of its three
most recent fiscal years ended December 31, 2010, Section 1003(a)(ii) of
the Company Guide since it reported stockholders' equity of less than
$4,000,000 at March 31, 2011 and losses from continuing operations
and/or net losses in three of its four most recent fiscal years ended
December 31, 2010 and Section 1003(a)(iii) of the Company Guide since it
reported stockholders' equity of less than $6,000,000 at March 31, 2011
and losses from continuing operations and net losses in its five most
recent fiscal years ended December 31, 2010. The Company was afforded
the opportunity to submit a plan of compliance to the Exchange and that
plan was accepted by the Exchange on August 23, 2011, with a targeted
date of December 8, 2012 to regain compliance with Sections 1003(a)(i),
(ii) and (iii) of the Exchange's Company Guide.
On January 3, 2012, the Company was cited for noncompliance with Section
704 of the Company Guide in that it failed to hold an annual meeting of
its stockholders during 2011 for the fiscal year ended December 31,
2010. The Company's plan of compliance detailing actions which it had
taken, or intended to take, to regain compliance with the continued
listing standards was accepted by the Exchange via letter dated January
26, 2012, granting the Company until July 3, 2012 to regain compliance
with Section 704 of the Exchange's Company Guide.
The Company will be subject to periodic review by Exchange staff during
the extension period and prior to compliance with Sections 704,
1003(a)(i), (ii), (iii) and (f)(v) of the Exchange's Company Guide.
Failure to make progress consistent with the Plans or to regain
compliance with the continued listing standards by the end of the
extension period could result in the Company being delisted from the
NYSE AMEX LLC.
About MGT Capital Investments, Inc.
MGT is a holding company comprised of MGT, the parent company, and its
wholly-owned subsidiary MGT Capital Investments (U.K.) Limited. In
addition we also have a controlling interest in our subsidiary,
Medicsight Ltd, including its wholly owned subsidiaries.
Medicsight is a medical technology company with operations in medical
imaging software development and medical hardware devices. The company
provides a computer-aided detection software application that is used to
assist radiologists with early detection and measurement of colorectal
polyps. The Company's software received a CE Mark in 2009, as well as
clearance from the U. S. FDA in May 2011. Medicsight has also developed
an automated carbon dioxide medical inflation device and associated
disposable tubing (MedicCO 2 LON) that is being commercialized in
partnership with a global distributor.
Forward Looking Statements
This press release contains forward-looking statements. The words or
phrases "would be," "will allow," "intends to," "will likely result,"
"are expected to," "will continue," "is anticipated," "estimate,"
"project," or similar expressions are intended to identify
"forward-looking statements." MGT's financial and operational results
reflected above should not be construed by any means as representative
of the current or future value of its common stock. All information set
forth in this news release, except historical and factual information,
represents forward-looking statements. This includes all statements
about the Company's plans, beliefs, estimates and expectations. These
statements are based on current estimates and projections, which involve
certain risks and uncertainties that could cause actual results to
differ materially from those in the forward-looking statements. These
risks and uncertainties include issues related to: rapidly changing
technology and evolving standards in the industries in which the Company
and its subsidiaries operate; the ability to obtain sufficient funding
to continue operations, maintain adequate cash flow, profitably exploit
new business, license and sign new agreements; the unpredictable nature
of consumer preferences; and other factors set forth in the Company's
most recently filed annual report and registration statement. Readers
are cautioned not to place undue reliance on these forward-looking
statements, which reflect management's analysis only as of the date
hereof. The Company undertakes no obligation to publicly revise these
forward-looking statements to reflect events or circumstances that arise
after the date hereof. Readers should carefully review the risks and
uncertainties described in other documents that the Company files from
time to time with the U.S. Securities and Exchange Commission.
MGT Capital Investments, Inc.
Robert Ladd, 914-630-7430
and Chief Executive Officer
Chief Financial Officer
Source: MGT Capital Investments, Inc.
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