MORRISVILLE — Just weeks after receiving a threat of delisting from the Nasdaq, Charles & Colvard Ltd. has struck a new partnership with Macy’s to expand the distribution of its diamond-alternative jewelry.
The fiscal terms of the deal were not disclosed.
Charles & Colvard CEO Suzanne Miglucci said in a press release that the company’s jewelry, which is made using lab-created moissanite, will initially be focused in Macy’s online store.
After evaluating customer reception of the product, she said the partnership could expand through the department store chain’s other customer channels.
“This new relationship with a premier, iconic retailer provides broad access to an attractive and large customer base driving nearly $25 billion in annual sales,” Miglucci said.
The Morrisville, North Carolina-based company received a letter Oct. 12 from the Nasdaq’s Listing Qualifications Department. The letter stated that because Charles & Colvard had closed 30 straight trading days below the Nasdaq’s required listing price of $1, it faced potential removal from the index.
The company announced its deal with Macy’s near the start of trading Thursday. Charles & Colvard closed the day at 90 cents per share, up 6.8 percent.
The company touts its jewelry as an eco-friendly, and less expensive, alternative to mined gemstones.
“Savvy retailers are responding to the strong interest in ethically sourced products by consumers, especially millennials,” Miglucci said.
The company’s last quarterly report, issued in May, showed it incurred a net loss of $578,054. That was 3.3 percent larger than the loss it saw a year before.
If the company is unable to close trading at or above $1 per share by the Nasdaq’s current deadline of April 10, 2019, it will be subject to removal from publicly trading on the index.
This story is from the North Carolina Business News Wire, a service of UNC-Chapel Hill’s School of Media and Journalism
