The well-known iced tea company from the United States, Long Blockchain Corp, had rebranded itself recently but it seems that its attempt to reposition itself might have hit a bit of a roadblock with the U.S Securities and Exchange Commission or the SEC having subpoenaed them.
The SEC has sent a requisition for several documents and papers, according to a regulatory filing submitted by the Long Blockchain Corps. The subpoena was issued by the SEC on 10th July but the company refused to make any further details public, with reference to the subpoena.
Long Blockchain Corps is based in New York, and the company has promised to cooperate fully with the investigation and inquisition process. It remarked that it was too early for the company to be able to ascertain whether or not any investigation or proceeding would be started in the aftermath of the subpoena. It also noted that it was still in the dark about how the subpoena issuance would play out in the near future or how the firm would be affected by anything that happens as a result of the subpoena.
The subpoena was issued soon after the Nasdaq announced its plans to delist the stock of the iced tea company. With a market value that is lower than 5 million US dollars, the company is in a troubled state if we are to compare it with its valuation in December 2017 when it had rebranded itself. It was earlier called Long Island Iced Tea Corp. and then it was renamed as Long Blockchain Corps while having a value close to roughly 70 million US dollars.
It remains to be seen if the company can salvage its position and take itself back to the brighter position it had been back in the last year, even without having rebranded itself. It would be quite a comeback if it can truly worm out of the tough situation it has been placed in with not just the subpoena but also the fall in stature in the books of Nasdaq.