BIMI Announces Receipt of a Delinquency Compliance Alert Notice from Nasdaq

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BIMI Holdings Inc. (NASDAQ: BIMI) received a delinquency compliance alert notice from Nasdaq due to the late filing of its Annual Report on Form 10-K for the fiscal year ended December 31, 2023. Nasdaq granted the Company 60 days to submit a plan to regain compliance with the Rule. The Company plans to submit its compliance plan by June 18, 2024, potentially extending the deadline to October 14, 2024.

Financial Analyst

The notice received by BIMI from Nasdaq concerning filing delinquency is a red flag for potential investors as it reflects on the company's ability to meet regulatory requirements. Delays in filing annual reports can suggest underlying issues such as operational inefficiencies, potential financial restatements, or more serious financial troubles. This can also lead to heightened volatility in the company's stock as markets react to uncertainty. Investors should monitor the company's ability to formulate and execute a timely plan of compliance, as failure to regain compliance may result in delisting, which substantially impacts liquidity and share valuation.

Legal Expert

From a legal standpoint, BIMI's failure to file its annual report within the stipulated time frame contravenes Nasdaq's Listing Rule 5250(c)(1). This rule is pivotal to ensuring that listed companies maintain a minimum level of transparency and regularity in financial reporting, which is important for investor trust. The 60-day window to submit a compliance plan is the company's immediate lifeline to rectify the breach. Investors should be aware that the outcome of the appeal process, if it comes to that, can be unpredictable. Moreover, the legal ramifications of delisting extend beyond immediate stock performance concerns; the company's ability to attract future financing and enter partnerships could be adversely affected.

New York, April 23, 2024 (GLOBE NEWSWIRE) --  BIMI Holdings Inc. (NASDAQ: BIMI) (“BIMI” or the “Company”), previously known as BIMI International Medical Inc., a healthcare products and services provider, today announced that on April 19, 2024, it received a delinquency compliance alert notice from the Listing Qualifications Department of The Nasdaq Stock Market LLC (“Nasdaq”) advising the Company that due to the Company’s failure to timely file its Annual Report on Form 10-K for the fiscal year ended December 31, 2023, with the Securities and Exchange Commission (the “SEC”), the Company is not in compliance with Nasdaq’s continued listing requirements under Nasdaq Listing Rule 5250(c)(1) (the “Rule”), which requires the timely filing of all required periodic reports with the SEC.

Nasdaq provided the Company 60 days to submit a plan to regain compliance with the Rule (the “Plan”).  The Company intends to submit its plan of compliance to Nasdaq by June 18, 2024. If Nasdaq accepts the Plan, the Company may be granted an extension of 180 calendar days from the due date of the Form 10-K, or until October 14, 2024, to regain compliance with the Rule. In the event the Plan is not accepted by Nasdaq, the Company may appeal that decision to a Hearings Panel.

About BIMI Holdings Inc.
BIMI Holdings Inc. is a healthcare products and services provider, offering a broad range of healthcare products and related services in the U.S. and Asia. For more information, please visit usbimi.com.

Forward-Looking Statements
This announcement contains forward-looking statements as defined under Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, formulated in accordance with the 'safe harbor' provisions of the Private Securities Litigation Reform Act of 1995. These statements, reflecting the Company's projections about its future financial and operational performance, employ terms like 'believes,' 'estimates,' 'anticipates,' 'expects,' 'plans,' 'projects,' 'intends,' 'potential,' 'target,' 'aim,' 'predict,' 'outlook,' 'seek,' 'goal,' 'objective,' 'assume,' 'contemplate,' 'continue,' 'positioned,' 'forecast,' 'likely,' 'may,' 'could,' 'might,' 'will,' 'should,' 'approximately,' and similar expressions to convey the uncertainty of future events or outcomes. These forward-looking statements are based on the Company's current expectations, assumptions, and projections, involving judgments about future economic conditions, competitive landscapes, market dynamics, and business decisions, many of which are inherently challenging to predict accurately and are largely beyond the Company's control. Additionally, these statements are subject to a multitude of known and unknown risks, uncertainties, and other variables that could significantly diverge the Company's actual results from those depicted in any forward-looking statement. These factors include, but are not limited to, varying economic conditions, competitive pressures, and regulatory changes. Because of these and other risks, uncertainties and assumptions, undue reliance should not be placed on these forward-looking statements. In addition, these statements speak only as of the date of this press release and, except as may be required by law, the Company undertakes no obligation to revise or update publicly any forward-looking statements for any reason.

Investor Relations Contact
Investor Relations Department of BIMI Holdings Inc.
Email: vinson@usbimi.com
Tel: +1 949 981 6274

FAQ

Why did BIMI Holdings Inc. receive a delinquency compliance alert notice from Nasdaq?

BIMI Holdings Inc. received a delinquency compliance alert notice from Nasdaq due to the late filing of its Annual Report on Form 10-K for the fiscal year ended December 31, 2023.

What is the deadline for BIMI Holdings Inc. to submit a plan to regain compliance with the Rule?

BIMI Holdings Inc. has 60 days from the receipt of the notice to submit a plan to regain compliance with the Rule.

When does BIMI Holdings Inc. plan to submit its compliance plan to Nasdaq?

BIMI Holdings Inc. plans to submit its compliance plan to Nasdaq by June 18, 2024.

What is the potential extension deadline for BIMI Holdings Inc. to regain compliance with the Rule?

If Nasdaq accepts the Plan, BIMI Holdings Inc. may have an extension of 180 calendar days from the due date of the Form 10-K, potentially until October 14, 2024.