SCO gets Nasdaq reprieve

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Crisis-hit Unix vendor SCO has been given extra time to raise the price of its stock before facing delisting from the US Nasdaq stock exchange.

The vendor last month said it had received the notice of delisting as a result of its Chapter 11 bankruptcy filing with the US Securities and Exchange Commission (SEC) after suffering some major setbacks in its long running lawsuit against Novell, IBM and others.

In August the judge presiding over the copyright case found in favour of Novell as the owner of the Unix and UnixWare copyrights, dismissing SCO's charges of slander and breach of contract. This effectively killed off the case that vendor has ploughed most of its energy and resources into since it began in 2004.

Now a Nasdaq Staff Deficiency Letter received by the company on 25 September has given it an initial period of 180 days, until 24 March 2008, to regain compliance to meet the criteria for continued listing. The delisting had been originally scheduled to take place last Thursday.

In a statement issued Friday, SCO said: "The 180-day period relates exclusively to the bid price deficiency."

The company's bid price of its common stock had closed under $1.00 for the last 30 business days, breaking a marketplace rule set down for continued listing.

SCO has also lost much of the value of its stock since the 10 August lawsuit ruling, dropping $1.20 (£0.60) from its then share price to close last Friday at $0.17.

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