GameSquare risks Nasdaq delisting over $1 rule

GameSquare Holdings, the parent company of FaZe Clan, faces possible removal from the Nasdaq Stock Market after its share price traded below the exchange’s $1 minimum. The stock (ticker: GAME) was trading around $0.33 at the time of filing.

On July 2, 2026 the company filed a preliminary proxy statement (PRE 14A) announcing a Special Meeting of Stockholders for Aug. 13, 2026. Shareholders will vote on whether to authorize a reverse stock split. A reverse split combines multiple existing shares into one new share and raises the price per share proportionally; for example, a 1-for-2 split halves outstanding shares and doubles the price, while a 1-for-8 split combines eight shares into one and increases the price accordingly.

Nasdaq’s minimum bid price requirement specifies that a listed company must maintain a closing price of at least $1.00. If a stock closes below $1.00 for 30 consecutive trading days, Nasdaq issues a deficiency notice and normally gives the company 180 days to achieve a closing bid of $1.00 or higher for at least 10 consecutive trading days. GameSquare received a deficiency notice on Sept. 10, 2025. The initial 180-day compliance period expired on March 9, 2026, and Nasdaq granted a second 180-day extension on March 10, 2026, setting a new deadline of Sept. 7, 2026.

During the compliance period GameSquare repurchased nearly 2.3 million shares on April 22, 2026; the company described the buyback as a response to a ‘dislocation between intrinsic value and market value.’ GameSquare also owns live-streaming analytics provider Stream Hatchet and UK talent agency Code Red Esports, and holds the FaZe Clan brand.

If GameSquare does not reach a closing price of $1.00 or higher for 10 consecutive trading days by the Sept. 7 deadline, Nasdaq could issue a delisting notice and remove the company from the exchange. The company would have the option to appeal to a Nasdaq Hearings Panel, but an appeal does not guarantee continued listing.

The Aug. 13 shareholder vote is the next formal step. If investors approve the reverse split, the board would select a specific ratio and implement the consolidation. If shareholders reject the proposal or the split does not produce the required sustained closing price, the company would remain at risk of delisting. GameSquare continues to trade under the ticker GAME while the company and shareholders prepare for the vote and the Sept. 7 compliance deadline.