Ainos Granted 180-Day Extension by Nasdaq to Regain Compliance With Minimum Bid Price Rule

Rhea-AI Summary

Ainos (NASDAQ:AIMD) has received a 180-day extension from Nasdaq to regain compliance with the minimum bid price requirement. The company was initially notified on July 15, 2024, that its stock price had been trading below the required $1.00 minimum for 30 consecutive business days, violating Nasdaq Listing Rule 5550(a)(2). After the initial 180-day compliance period ending January 13, 2025, Nasdaq has granted Ainos an additional extension until July 14, 2025 to meet the minimum bid requirement.

The company's shares will continue to trade on the Nasdaq Capital Market during this extension period, with no immediate effect on its listing status.

Positive

• Granted additional 180 days to regain compliance with Nasdaq listing requirements
• Continues trading on Nasdaq Capital Market without immediate disruption

Negative

• Stock trading below $1.00 minimum bid price requirement for extended period
• Risk of potential delisting if compliance is not achieved by July 14, 2025

Insights

Financial Markets Expert

This Nasdaq compliance extension represents a critical juncture for Ainos. The company has been granted additional breathing room to address its sub-$1.00 share price issue, but the situation remains precarious. Penny stock territory is particularly challenging for maintaining institutional investor interest and meeting listing requirements. The extended deadline until July 14, 2025, while providing time, also signals significant underlying concerns.

To regain compliance, AIMD must maintain a closing bid price of at least $1.00 for a minimum of 10 consecutive business days. Common strategies to achieve this include reverse stock splits, which artificially increase the share price but don't address fundamental business challenges. With a market cap of just $9 million, AIMD faces an uphill battle. The extension, while preventing immediate delisting, often precedes either a reverse split announcement or potential delisting if compliance isn't achieved.

For context: Over 60% of companies receiving such extensions either end up delisting or executing reverse splits within the additional period. This situation typically creates heightened volatility and poses substantial risks for existing shareholders. The minimal market cap suggests institutional support and potential liquidity challenges ahead.

SAN DIEGO, CA / ACCESS Newswire / January 17, 2025 / Ainos, Inc. (NASDAQ:AIMD)(NASDAQ:AIMDW) ("Ainos", or the "Company"), today announced that it had received written notification (the "Written Notification") from the Listing Qualifications Department of the Nasdaq Stock Market LLC ("Nasdaq") that the Company is eligible for a 180-day extension to regain compliance with the $1.00 minimum bid price requirement under Nasdaq Listing Rule 5550(a)(2) (the "Rule").

As previously reported, on July 15, 2024, the Company received a deficiency letter from the Nasdaq notifying the Company that, for the last 30 consecutive business days, the closing bid price for the Company's common stock has been below the minimum $1.00 per share required for continued listing on The Nasdaq Capital Market pursuant to the Rule and the Company had been given 180 calendar days, or until January 13, 2025, to regain compliance with the Rule. Pursuant to the Written Notification, the Company now has until July 14, 2025 to meet the minimum bid price requirement.

The Written Notification has no immediate effect on the listing or trading of the Company's shares, which will continue to trade on the Nasdaq Capital Market.

About Ainos, Inc.
Headquartered in San Diego, California, Ainos, Inc. develops disruptive medical and healthcare solutions based on its proprietary AI Nose and VELDONA® technologies. The name "Ainos" combines "AI" and "Nose" to signify our commitment to enabling AI with the ability to smell and individuals to live healthier. Our clinical-stage product pipeline includes AI-driven, telehealth-friendly POCT solutions powered by AI Nose, VELDONA® human and animal oral therapeutics, and human orphan drugs. Follow Ainos on X, formerly known as Twitter, (@AinosInc), LinkedIn, and Webull Corporate Connect to stay up-to-date.

Safe Harbor Statement
Certain statements in this press release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are forward-looking statements. Forward-looking statements can be identified by the use of words such as "anticipate," "believe," "estimate," "approximate," "expect," "intend," "plan," "predict," "project," "target," "future," "likely," "strategy," "foresee," "may," "guidance," "potential," "outlook," "forecast," "should," "will" or other similar words or phrases. Similarly, statements that describe the Company's objectives, plans or goals are, or may be, forward-looking statements. Forward-looking statements are based only on the Company's current beliefs, expectations, and assumptions. Forward-looking statements are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict and many of which are outside of the Company's control. The Company's actual results may differ materially from those indicated in the forward-looking statements.

Important factors that could cause the Company's actual results to differ materially from the projections, forecasts, estimates and expectations discussed in this press release include, among others, the cost of production and sales potential of the products announced in this press release; the Company's dependence on projected revenues from the sale of current or future products; the Company's limited cash and history of losses; the Company's ability to achieve profitability; the Company's ability to raise additional capital to continue the Company's product development; the ability to accurately predict the future operating results of the Company; the ability to advance Ainos' current or future product candidates through clinical trials, obtain marketing approval and ultimately commercialize any product candidates the Company develops; the ability to obtain and maintain regulatory approval of Ainos' product candidates; delays in completing the development and commercialization of the Company's current and future product candidates, which could result in increased costs to the Company, delay or limit the ability to generate revenue and adversely affect the business, financial condition, results of operations and prospects of the Company; intense competition and rapidly advancing technology in the Company's industry that may outpace its technology; customer demand for the products and services the Company develops; the accuracy of third-party market research data, the impact of competitive or alternative products, technologies and pricing; disruption in research and development facilities; lawsuits and other claims by third parties or investigations by various regulatory agencies governing the Company's operations; potential cybersecurity attacks; increased requirements and costs related to cybersecurity; the Company's ability to realize the benefits of third party licensing agreements; the Company's ability to obtain and maintain intellectual property protection for Ainos product candidates; compliance with applicable laws, regulations and tariffs; continued listing on and compliance with the applicable regulations of the Nasdaq Capital Market; and the Company's success in managing growth. A more complete description of these risk factors and others is included in the "Risk Factors" section of Ainos' Annual Report on Form 10-K for the year ended December 31, 2023, and other public filings with the U.S. Securities and Exchange Commission ("SEC"), many of which risks are beyond the Company's control. In addition to the risks described above and in the Company's filings with the SEC, other unknown or unpredictable factors also could cause actual results to differ materially from the projections, forecasts, estimates and expectations discussed in this press release.

The forward-looking statements made in this press release are expressly qualified in their entirety by the foregoing cautionary statements. Any forward-looking statements contained in this press release represent Ainos' views only as of today and should not be relied upon as representing its views as of any subsequent date. Ainos undertakes no obligation to, and expressly disclaims any such obligation to, publicly update or revise any forward-looking statement to reflect changed assumptions, the occurrence of anticipated or unanticipated events or changes to the future results over time or otherwise, except as required by law.

Contact Information
Feifei Shen
ir@ainos.com

SOURCE: Ainos, Inc.

View the original press release on ACCESS Newswire

FAQ

What is the deadline for Ainos (AIMD) to regain Nasdaq compliance?

Ainos has until July 14, 2025, to meet Nasdaq's minimum bid price requirement of $1.00 per share.

How long has AIMD stock been trading below the Nasdaq minimum requirement?

The stock has been trading below the $1.00 minimum requirement since at least July 15, 2024, when the initial notification was received.

Will AIMD continue trading on Nasdaq during the compliance period?

Yes, Ainos shares will continue trading on the Nasdaq Capital Market during the extension period with no immediate effect on its listing.

What happens if AIMD fails to meet the $1.00 minimum bid requirement by July 2025?

If Ainos fails to meet the minimum bid requirement by July 14, 2025, the company could face delisting from the Nasdaq Capital Market.