Waitr, the delivery service app based in Lafayette, has acknowledged in federal filings that its stock price has again fallen so low that it faces a delisting threat from Nasdaq.
Meanwhile, an early investor in Waitr is leaving the company’s board, according to a resignation letter filed with the Securities and Exchange Commission on Feb. 10.
In his letter, Lake Charles businessman William Gray Stream cited “increased external business and personal commitments” as his reason for leaving the board, which he joined in 2014. Both Stream and Waitr said he is leaving amicably and that his departure is unrelated to Waitr’s financial standing.
“The Company is grateful for, and appreciative of, Mr. Stream’s service as an independent director, as well as his serving on the audit committee, compensation committee and corporate governance and nominating committee,” Waitr said in an SEC filing.
Waitr, founded in 2013 in Lake Charles, did not outline a timeline for finding a replacement for Stream.
Stream is president of Matilda Stream Management Inc., which manages the business activities of his family. He is also president and treasurer of CKX Lands Inc., a publicly traded company that owns land and mineral interests in southwest Louisiana and generates revenue through oil and gas royalties, surface leases for farming and timber sales.
Stream was appointed by former Gov. Bobby Jindal to the Louisiana Board of Regents in 2015 and represented southwest Louisiana. The board oversees all higher education institutions in Louisiana.
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In January, Waitr’s parent company, Waitr Holdings Inc., said in SEC filings that its stock price had fallen below $1 for 30 consecutive business days, a violation of Nasdaq’s bid price rules. The company’s stock closed at 45 cents a share Friday afternoon, the most recent day of trading.
Waitr says it has until July 25 to raise its price or face consequences. If Waitr can maintain a price above $1 for 10 consecutive business days before that deadline, it will no longer face delisting.
Waitr Holdings said in a January SEC filing it was actively taking steps to regain compliance with the Nasdaq listing rules and was considering available options.
Waitr’s stock price has been on a wild ride since it started public trading in November 2018. It opened at $11.81 a share, reached as high as $13.86 in March 2019 but cratered to 25 cents in November 2019. It bounced back to $5.34 in July 2020 but has fallen ever since, according to Nasdaq data.
Waitr announced in December that, after a trademark dispute with a similar California business, it would change its name to ASAP by June 22.