AIX Announces Receipt of Minimum Bid Price Notice from Nasdaq
Rhea-AI Summary
AIX (NASDAQ: AIFU) has received a notification from Nasdaq on February 24, 2025, indicating non-compliance with the minimum bid price requirement of US$1.00 per share, as the company's ADS closing price remained below this threshold for 30 consecutive business days.
The company has been granted a 180-day compliance period until August 25, 2025 to meet the requirement. Compliance can be achieved if the ADS closing price stays at US$1.00 or higher for at least 10 consecutive business days. If unsuccessful, AIX may be eligible for an additional 180-day period if it meets other Nasdaq Capital Market listing criteria.
The notification currently does not affect AIX's listing or trading status on the Nasdaq Global Market. The company states it will take all reasonable measures to regain compliance, including the possibility of a reverse stock split if necessary.
Positive
- 180-day grace period granted until August 25, 2025
- Potential additional 180-day extension if criteria met
- Currently maintains Nasdaq Global Market listing status
Negative
- Stock trading below $1.00 for 30 consecutive business days
- Risk of potential delisting if compliance not achieved
- May require dilutive reverse stock split to maintain listing
News Market Reaction 1 Alert
On the day this news was published, AIFU declined 2.40%, reflecting a moderate negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
GUANGZHOU, China, Feb. 25, 2025 (GLOBE NEWSWIRE) -- AIX Inc. (NASDAQ: AIFU) (“AIX” or the “Company”), today announced that it has received a written notification from the staff of the Listing Qualifications Department of the Nasdaq Stock Market LLC (“Nasdaq”), dated February 24, 2025, indicating that for the last 30 consecutive business days, the closing bid price for the Company’s American depositary shares (the “ADSs”) was below the minimum bid price of US
Pursuant to the Nasdaq Listing Rules 5810(c)(3)(A), the Company is provided with a compliance period of 180 calendar days, or until August 25, 2025, to regain compliance under the Nasdaq Listing Rules. If at any time during the 180-day compliance period, the closing bid price of the Company’s ADSs is US
In the event that the Company does not regain compliance by August 25, 2025, subject to the determination by the staff of Nasdaq, the Company may be eligible for an additional 180-day compliance period if it meets the continued listing requirement for market value of publicly held shares and all other initial listing standards for the Nasdaq Capital Market, with the exception of the minimum bid price requirement. In this case, the Company will need to provide written notice of its intention to cure the deficiency during the second compliance period, including by effecting a reverse stock split, if necessary.
The Nasdaq notification letter will have no effect on the Company’s business operations, and the Company will take all reasonable measures to regain compliance.
About AIX Inc.
AIX, established in 1998, is a leading intelligent technology-driven independent financial services provider in China. It provides 400 million middle-class families with insurance protection, wealth management, and value-added services and provides independent financial advisors and various insurance/financial sales organizations with technical support and comprehensive solutions. Through AI-driven insights and cutting-edge digital tools, AIX has successfully established itself as a leader in intelligent transformation within the financial services industry.
Forward-looking Statements
This press release contains statements of a forward-looking nature. These statements, including the statements relating to the Company’s future financial and operating results, are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by terminology such as “will”, “expects”, “believes”, “anticipates”, “intends”, “estimates” and similar statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations, assumptions, estimates and projections about AIX Inc. and the industry. Potential risks and uncertainties include, but are not limited to, those relating to its ability to attract and retain productive agents, especially entrepreneurial agents, its ability to maintain existing and develop new business relationships with insurance companies, its ability to execute its growth strategy, its ability to adapt to the evolving regulatory environment in the Chinese insurance industry, its ability to compete effectively against its competitors, quarterly variations in its operating results caused by factors beyond its control including macroeconomic conditions in China. Except as otherwise indicated, all information provided in this press release speaks as of the date hereof, and AIX Inc. undertakes no obligation to update any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although AIX Inc. believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that its expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results. Further information regarding risks and uncertainties faced by AIX Inc. is included in AIX Inc.’s filings with the U.S. Securities and Exchange Commission, including its annual report on Form 20-F.
For more information, please contact:
AIX Inc.
Investor Relations
Tel: +86 (20) 8388-3191
Email: ir@aifugroup.com
FAQ
What is the deadline for AIX (AIFU) to regain Nasdaq compliance?
How can AIX (AIFU) regain Nasdaq compliance?
What happens if AIX (AIFU) fails to meet the August 2025 deadline?
Will AIX (AIFU) stock be delisted from Nasdaq immediately?
What measures might AIX (AIFU) take to regain compliance?
