AZI Received Nasdaq Notification Regarding Minimum Market Value Deficiency

Rhea-AI Summary

Autozi (Nasdaq: AZI), a Chinese automotive products and services company, has received a notification from Nasdaq on July 8, 2025, regarding non-compliance with the minimum Market Value of Listed Securities (MVLS) requirement. The company's MVLS has fallen below the required $50 million threshold for 30 consecutive business days from May 22 to July 7, 2025.

Autozi has been granted a 180-day grace period until January 5, 2026, to regain compliance by maintaining an MVLS of $50 million or more for at least ten consecutive business days. If unsuccessful, the company may face delisting unless it transfers to the Nasdaq Capital Market. Despite this challenge, Autozi remains confident in its core business fundamentals and continues to operate its supply chain cloud platform and SaaS solutions in China's automotive services market.

Positive

• Company maintains listing on Nasdaq Global Market during compliance period
• 180-day grace period provided to regain compliance
• Option to transfer to Nasdaq Capital Market if compliance not met

Negative

• Market value fallen below required $50 million minimum threshold
• Risk of potential delisting if compliance not achieved by January 5, 2026
• 30 consecutive business days of market value deficiency

Insights

Securities Compliance Specialist

Autozi faces Nasdaq delisting risk after failing to maintain $50M market value requirement; has until January 2026 to regain compliance.

Autozi (AZI) has received a Nasdaq notification of non-compliance with the minimum Market Value of Listed Securities (MVLS) requirement of $50 million. This deficiency occurred over 30 consecutive business days from May 22 to July 7, 2025, triggering regulatory intervention under Nasdaq Listing Rule 5450(b)(2)(A).

This notification initiates a 180-day compliance period ending January 5, 2026, during which Autozi must achieve an MVLS of at least $50 million for a minimum of ten consecutive business days to maintain its Global Market listing. Failure to meet this threshold could result in delisting proceedings, though the company may have the option to transfer to the less prestigious Nasdaq Capital Market, which has lower listing requirements.

While management expresses confidence in their business fundamentals and China automotive services market position, this compliance issue indicates significant market capitalization erosion. The extended non-compliance period suggests this isn't a temporary fluctuation but a sustained valuation challenge. Though immediate delisting isn't imminent, this regulatory warning represents a material concern for shareholders, as continued listing on a major exchange provides crucial liquidity, visibility, and access to capital markets that are essential for growth-stage companies operating in competitive sectors.

BEIJING, July 9, 2025 /PRNewswire/ -- Autozi Internet Technology (Global) Ltd. (Nasdaq: AZI) ("Autozi" or the "Company"), an automotive products and services company in China, today announced that it has received written notification (the "Notification Letter") from The Nasdaq Stock Market LLC ("Nasdaq") dated July 8, 2025, notifying the Company that it is not in compliance with the minimum Market Value of Listed Securities (MVLS) of $50,000,000. Nasdaq Listing Rule 5450(b)(2)(A) requires a company that has its primary equity security listed on the Nasdaq Global market to maintain a minimum Market Value of Listed Securities (MVLS) of $50,000,000, and Nasdaq Listing Rule 5810(c)(3)(C) provides that a failure to meet the market value requirement exists if the deficiency continues for a period of last 30 consecutive business days. Based on the market value of the Company for the 30 consecutive business days from May 22, 2025 to July 7, 2025, the Company no longer meets the requirement of minimum Market Value of Listed Securities (MVLS).

The Notification Letter does not impact the Company's listing on The Nasdaq Global Market at this time. In accordance with Nasdaq Listing Rule 5810(c)(3)(C), the Company has been provided 180 calendar days, or until January 5, 2026, to regain compliance with the market value requirement. To regain compliance, the Company's MVLS must close at $50,000,000 or more for a minimum of ten consecutive business days during the compliance period of 180 calendar days. If the Company does not regain compliance by January 5, 2026 or transfer to The Nasdaq Capital Market, the Company will receive written notification that its securities are subject to delisting.

The Company intends to monitor its market value of publicly held shares between now and January 5, 2026 and intends to cure the deficiency within the prescribed grace period. During this time, the Company expects that its Class A ordinary shares will continue to be listed and traded on The Nasdaq Global Market.

Notwithstanding the Notification Letter, the Company remains confident in its core business fundamentals and its position in the automotive services market in China. Autozi's advanced supply chain cloud platform and SaaS solutions continue to create tangible value for both customers and partners, supporting the Company's long-term growth strategy. Management is focused on operational optimization, disciplined execution, and prudent capital allocation, all with the goal of driving sustainable value for Autozi's shareholders. The Company believes that these efforts will position Autozi for continued success and expansion in the years ahead.

About Autozi

Autozi Internet Technology (Global) Ltd. is a leading, fast-growing provider of lifecycle automotive services in China. Founded in 2010, Autozi offers a comprehensive range of high-quality, affordable, and professional automotive products and services through both online and offline channels across the country. Leveraging its advanced online supply chain cloud platform and SaaS solutions, Autozi has built a dynamic ecosystem that connects key participants across the automotive industry. This interconnected network enables more efficient collaboration and streamlined processes throughout the entire supply chain, positioning Autozi as a key driver of innovation and growth in the automotive services sector.

Safe Harbor Statement

This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995, including but not limited to statements related to Autozi's cash position, financial resources and potential for future growth, market acceptance and penetration of new or planned product offerings, and future recurring revenues and results of operations. These forward-looking statements can be identified by terminology such as "aim," "anticipate," "believe," "estimate," "expect," "hope," "going forward," "intend," "ought to," "plan," "project," "potential," "seek," "may," "might," "can," "could," "will," "would," "shall," "should," "is likely to" and the negative form of these words and other similar expressions. Among other things, statements that are not historical facts, including statements about the Company's beliefs and expectations are or contain forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement. All information provided in this press release is as of the date of this press release and is based on assumptions that the Company believes to be reasonable as of this date, and the Company does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

Contact Information

Autozi Internet Technology (Global) Ltd.
Ms. June Wang
Email: Jun.Wang@Autozi.com

 

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SOURCE Autozi Internet Technology (Global) Ltd.

FAQ

Why did Autozi (AZI) receive a Nasdaq notification in July 2025?

Autozi received the notification because its Market Value of Listed Securities (MVLS) fell below the required $50 million minimum threshold for 30 consecutive business days from May 22 to July 7, 2025.

What must Autozi (AZI) do to maintain its Nasdaq Global Market listing?

Autozi must achieve a market value of $50 million or more for at least 10 consecutive business days before January 5, 2026, to maintain its listing.

What happens if Autozi (AZI) fails to meet Nasdaq's compliance deadline?

If Autozi fails to regain compliance by January 5, 2026, it can either transfer to the Nasdaq Capital Market or face potential delisting from Nasdaq.

How long does Autozi (AZI) have to regain Nasdaq compliance?

Autozi has been given a 180-day grace period until January 5, 2026, to regain compliance with the minimum market value requirement.

Is Autozi (AZI) still trading on Nasdaq despite the notification?

Yes, Autozi continues to trade on the Nasdaq Global Market during the compliance period, as the notification does not immediately impact its listing status.