Big Tree Cloud Holdings Limited Receives Nasdaq Notice on MVLS and MVPHS Requirements

Rhea-AI Summary

Big Tree Cloud Holdings (NASDAQ: DSY) received two Nasdaq deficiency notices for failing to meet minimum market-value thresholds.

Nasdaq found the Company's MVLS below $50,000,000 for 30+ business days (Nov 13–Dec 26, 2025) and its MVPHS below $15,000,000 for 30+ business days (Nov 6–Dec 30, 2025). The Company has been granted a 180-calendar-day compliance period until June 29, 2026 to regain each requirement by meeting the respective thresholds for ten consecutive business days. The notices do not affect current listing or trading. The Company said it will consider options to restore compliance while pursuing operational optimization and a new AI creator ecosystem platform to support growth.

Positive

• Nasdaq notices do not affect current listing or trading
• Launched an AI creator ecosystem platform to pursue growth

Negative

• Market Value of Listed Securities below $50,000,000 (Nov 13–Dec 26, 2025)
• Market Value of Publicly Held Shares below $15,000,000 (Nov 6–Dec 30, 2025)
• Must regain compliance by June 29, 2026 or risk delisting

Key Figures

Nasdaq MVLS minimum $50,000,000 Required Market Value of Listed Securities to regain compliance

Nasdaq MVPHS minimum $15,000,000 Required Market Value of Publicly Held Shares to regain compliance

Market cap $28,036,046 Pre-news market capitalization from market context

52-week range $0.24 – $7.33 52-week low and high from market context

Compliance deadline June 29, 2026 End of 180-day MVLS and MVPHS compliance periods

Net loss US$32.5 million Year ended June 30, 2025 (Form 20-F)

Operating cash flow US$6.5 million (negative) Year ended June 30, 2025 (Form 20-F)

Registered direct offering $5.0 million Gross proceeds from Sept 2025 registered direct offering

Market Reality Check

$0.3004 Last Close

Volume Volume 304,971 vs. 20-day average 164,047 (relative volume 1.86x). high

Technical Price $0.3194 is trading below the 200-day MA of $1.06 and far under the 52-week high of $7.33.

Peers on Argus

DSY gained 8.27% while key peers were mixed: GROV +4.35%, ACU +3.66%, EWCZ +3.18%, UG +0.65%, but WALD -4.71%, indicating largely stock-specific action.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Jan 02	AI expansion & leadership	Positive	+8.3%	Announced AI business expansion with new leadership roles and cooperation agreement.
Nov 21	Nasdaq bid deficiency	Negative	-3.0%	Nasdaq notice of noncompliance with $1.00 minimum bid requirement and cure period.
Oct 30	Annual report filing	Negative	-1.9%	Form 20-F detailing shift to asset-light model and significant net loss.
Sep 30	Offering closing	Negative	-2.8%	Closed $5.0M registered direct offering of ordinary shares under existing shelf.
Sep 29	Offering pricing	Negative	-16.4%	Priced $5.0M registered direct share offering for general corporate purposes.

Pattern Detected

Recent news events, including offerings and Nasdaq deficiency notices, have generally seen price moves that align with the directional implications of the announcements.

Recent Company History

Over the last few months, DSY has reported several structurally important updates. A September 2025 registered direct offering and related prospectus detailed fresh equity issuance and existing dilution. Subsequent filings, including the 2025 Form 20‑F, highlighted a US$32.5 million net loss and negative operating cash flow, underlining financial strain. Nasdaq notifications in November 2025 and now on MVLS/MVPHS show mounting listing compliance pressure. In contrast, the January 2, 2026 AI expansion and management changes stressed strategic repositioning and growth initiatives.

Market Pulse Summary

The stock moved +8.3% in the session following this news. A strong positive reaction aligns with DSY’s recent pattern, where news flow has often produced directionally consistent moves. Despite the negative tone of Nasdaq MVLS and MVPHS deficiency notices and a market cap near $28 million, traders previously rewarded the January 2, 2026 AI expansion with a +8.26% move. However, repeated compliance issues, prior equity offerings, and a US$32.5 million annual net loss highlight structural risks that could limit durability of sharp gains.

Key Terms

market value of listed securities regulatory

"the Company's Market Value of Listed Securities ("MVLS") for at least 30..."

The market value of listed securities is the total worth of stocks, bonds and other tradable instruments quoted on an exchange, measured using the prices investors are willing to pay right now. It’s calculated by multiplying each security’s current market price by the number of units outstanding and adding those amounts together, like totaling the value of every item in a store at today’s prices. Investors watch this because it shows the size, liquidity and overall health of the market or a company’s publicly traded portion, and it influences index weights, fund allocations and perceived risk.

market value of publicly held shares regulatory

"the Company's Market Value of Publicly Held Shares ("MVPHS") for at least 30..."

The market value of publicly held shares is the total dollar worth of a company’s shares that are available to outside investors, calculated by multiplying the current market price by the number of shares held by the public (the “float”). It matters because it tells investors how much of the company is actually tradable and how the market is pricing that tradable portion—like a price tag on the items on a store shelf, it affects liquidity, volatility and how easy it is to buy or sell a meaningful stake.

AI-generated analysis. Not financial advice.

SHENZHEN, China, Jan. 5, 2026 /PRNewswire/ -- Big Tree Cloud Holdings Limited (the "Company") (NASDAQ: DSY) today announced that it recently received two notification letters from The Nasdaq Stock Market LLC ("Nasdaq").

On December 29, 2025, the Company received a notification letter from Nasdaq, based on Nasdaq's review of the Company's Market Value of Listed Securities ("MVLS") for at least 30 consecutive business days from November 13, 2025 to December 26, 2025, the Company's MVLS was below the required minimum of $50,000,000. Pursuant to Nasdaq Listing Rule 5810(c)(3)(C), the Company has been granted a 180-calendar-day compliance period, or until June 29, 2026, to regain compliance with the MVLS 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. The letter notifies the Company of a deficiency but does not immediately affect its Nasdaq listing status.

On December 31, 2025, the Company received an additional notification letter from Nasdaq, based on Nasdaq's review of the Company's Market Value of Publicly Held Shares ("MVPHS") for at least 30 consecutive business days from November 6, 2025 to December 30, 2025, the Company's MVPHS was below the required minimum of $15,000,000. Pursuant to Nasdaq Listing Rule 5810(c)(3)(D), the Company has been granted a 180-calendar-day compliance period, or until June 29, 2026, to regain compliance with the MVPHS requirement. To regain compliance, the Company's MVPHS must close at $15,000,000 or more for a minimum of ten consecutive business days during the compliance period. The letter notifies the Company of a deficiency but does not immediately affect its Nasdaq listing status.

Both notification letters have no immediate effect on the listing or trading of the Company's ordinary shares. The Company will consider available options during this period to restore compliance with Nasdaq listing requirements. The Company remains committed to executing its long-term business strategy and enhancing shareholder value.

Despite receiving this notification letter, the Company remains confident in the fundamentals of its core business and its position in China's personal care market. While continuously optimizing operations in its traditional paper hygiene products business, the Company is actively embracing innovation to explore new growth pathways. The Company has recently expanded into the field of artificial intelligence by launching an AI creator ecosystem platform, which is designed to address the growing market demand for AI-related skills and provide additional growth momentum for the Company. Management remains focused on operational optimization, strategic execution, and prudent capital allocation, committed to creating sustainable value for shareholders. The combination of robust operations in its traditional business and the growth potential of its new ventures will lay a solid foundation for continued success in the future.

About Big Tree Cloud Holdings Limited

Founded in 2020, Big Tree Cloud is positioned as an international capital platform focused on industrial integration and strategic investment in China's personal care industry. The Company is committed to empowering industries through capital operations. Currently, Big Tree Cloud is accelerating its expansion into the AI sector. This new business line aims to capture the growing market demand for AI skills, injecting fresh momentum into the Company's development.

The core talent for the company's artificial intelligence business has officially been secured. Through appointing new key leaders, recruiting top technical heads and world-class AI experts, and continuously attracting leading talent in the AI field, the company is building formidable innovative capabilities.

For detailed information regarding the recruitment of AI professionals for our company, please refer to the following:

https://ir.bigtreeclouds.com/2026-01-02-Big-Tree-Cloud-Holdings-Limited-Announces-AI-Business-Expansion,-Key-Management-Appointments-and-Changes 

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the U.S. federal securities laws, including but not limited to Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements relate to, among other things, the Company's ability to regain compliance with the minimum Market Value of Listed Securities ("MVLS") requirement under Nasdaq Listing Rule 5450(b)(2)(A), the timing and outcome of the compliance process pursuant to Nasdaq Listing Rule 5810(c)(3)(C), the Company's ability to meet the minimum Market Value of Publicly Held Shares ("MVPHS") requirement under Nasdaq Listing Rule 5450(b)(2)(C), the compliance restoration process pursuant to Rule 5810(c)(3)(D), and the Company's future business development. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties, including but not limited to, fluctuations in the market price of the Company's ordinary shares, changes in overall market conditions, the Company's ability to maintain compliance with applicable Nasdaq listing standards, and other risks described in the Company's filings with the U.S. Securities and Exchange Commission. The Company undertakes no obligation to publicly update or revise any forward-looking statements to reflect subsequent events, circumstances, or changes in expectations, except as required by applicable law or Nasdaq rules.

Investor Relations Contact
Ting Yan
Phone: +86 15986815865
Email: yanting@bigtreeclouds.com 

View original content:https://www.prnewswire.com/news-releases/big-tree-cloud-holdings-limited-receives-nasdaq-notice-on-mvls-and-mvphs-requirements-302652705.html

SOURCE Big Tree Cloud Holdings Limited

FAQ

What Nasdaq deficiencies did Big Tree Cloud (DSY) receive on January 5, 2026?

DSY received notices for MVLS under $50,000,000 (Nov 13–Dec 26, 2025) and MVPHS under $15,000,000 (Nov 6–Dec 30, 2025).

How long does DSY have to regain Nasdaq compliance and what is the deadline?

DSY has a 180-calendar-day compliance period to June 29, 2026, to meet each Nasdaq threshold for ten consecutive business days.

What must DSY achieve to satisfy Nasdaq MVLS and MVPHS requirements?

DSY must close with MVLS ≥ $50,000,000 and MVPHS ≥ $15,000,000 each for ten consecutive business days during the compliance period.

Do the Nasdaq notices immediately affect DSY’s listing or trading?

No. The notices notify a deficiency but have no immediate effect on listing or trading.

What actions is DSY considering to restore Nasdaq compliance?

The company said it will consider available options during the compliance period while focusing on operations and strategic initiatives.

How does DSY describe its business outlook after the Nasdaq notices?

DSY said it remains confident in its core personal care business and is expanding into AI via an AI creator ecosystem platform for growth.