Garden Stage Limited - Announces Receipt of Nasdaq Notification Letter Regarding Minimum Bid Price Deficiency

Rhea-AI Summary

Garden Stage Limited (NASDAQ: GSIW) has received a notification from Nasdaq on September 5, 2025, indicating non-compliance with the minimum bid price requirement. The company's shares have traded below $1.00 for 30 consecutive business days, violating Nasdaq Listing Rule 5550(a)(2).

GSIW has been granted 180 calendar days until March 4, 2026, to regain compliance by maintaining a closing bid price of $1.00 or higher for at least 10 consecutive business days. The company's shares will continue trading on Nasdaq under "GSIW" during this period. If compliance isn't achieved by the deadline, GSIW may be eligible for additional time if it meets other Nasdaq Capital Market listing requirements.

Positive

• Trading continues uninterrupted on Nasdaq during compliance period
• Company has 180 days to address the deficiency
• Possibility for additional compliance time if other listing requirements are met

Negative

• Stock price has remained below $1.00 for 30 consecutive business days
• Risk of potential delisting if compliance is not achieved by March 4, 2026
• Company needs to achieve significant stock price increase to maintain listing

Insights

Financial Regulations Expert

Garden Stage received Nasdaq notice for sub-$1 share price; has until March 2026 to regain compliance or face potential delisting.

Garden Stage Limited has received a notification from Nasdaq regarding non-compliance with the exchange's minimum bid price requirement. The company's shares have traded below $1.00 for 30 consecutive business days, triggering a deficiency notice under Nasdaq Listing Rule 5550(a)(2).

The company now enters a 180-day compliance period ending March 4, 2026, during which its shares will continue trading uninterrupted under ticker GSIW. To regain compliance, Garden Stage's share price must close at $1.00 or higher for at least 10 consecutive business days before the deadline.

If Garden Stage fails to meet this requirement by March 2026, it may be eligible for a second compliance period if it meets all other Nasdaq Capital Market listing standards except the bid price requirement. This would require Garden Stage to formally notify Nasdaq of its intent to address the deficiency.

This type of notification is relatively common for small-cap companies facing share price pressure. The extended compliance timeframe gives Garden Stage multiple options, including a potential reverse stock split to artificially increase the share price if organic price appreciation doesn't materialize. While concerning, this notice represents an early regulatory warning rather than an immediate crisis for shareholders.

HONG KONG, Sept. 05, 2025 (GLOBE NEWSWIRE) -- Garden Stage Limited (NASDAQ: GSIW) (“GSIW” or the “Company”), today announced that it received a delinquency notification letter (the “Notice”) from the Listing Qualifications Department of The Nasdaq Stock Market LLC (“Nasdaq”) on September 5, 2025 indicating that the Company is not currently in compliance with the minimum bid price requirement set forth in Nasdaq’s Listing Rules for continued listing on the Nasdaq Capital Market, as the closing bid price for the Company’s ordinary shares listed on the Nasdaq Capital Market was below $1.00 per share for 30 consecutive business days. Nasdaq Listing Rule 5550(a)(2) requires listed securities to maintain a minimum bid price of $1.00 per share, and Nasdaq Listing Rule 5810(c)(3)(A) provides that a failure to meet the minimum bid price requirement exists if the deficiency continues for a period of 30 consecutive business days. The Notice provides that the Company has a period of 180 calendar days from the date of the Notice, or until March 4, 2026, to regain compliance with the minimum bid price requirement.

The receipt of the Notice has no immediate effect on the Company’s business operations or the listing of the Company’s ordinary shares, which will continue to trade uninterrupted on the Nasdaq under the ticker “GSIW.” Pursuant to the Notice, the Company has until March 4, 2026 to regain compliance with the minimum bid price requirement, during which time the Company’s ordinary shares will continue to trade on the Nasdaq Capital Market. If at any time before March 4, 2026, the bid price of the Company’s ordinary shares closes at or above $1.00 per share for a minimum of 10 consecutive business days, Nasdaq will provide written confirmation of compliance to the Company.

In the event that the Company does not regain compliance by March 4, 2026, the Company may be eligible for additional time to regain compliance. To qualify, the Company would be required to meet the continued listing requirement for market value of publicly held shares and all other initial listing standards for the Nasdaq Capital Market, except for the minimum bid price requirement. In addition, the Company would be required to notify Nasdaq of its intent to cure the deficiency during the second compliance period.

About Garden Stage Limited

GSIW, through our Operating Subsidiaries, are a Hong Kong-based financial services provider principally engaged in the provision of (i) placing and underwriting services; (ii) securities dealing and brokerage services; (iii) asset management services; and (iv) investment advisory services. Our operation is carried out through our wholly-owned Operating Subsidiaries: a) I Win Securities Limited, which is licensed to conduct Type 1 (dealing in securities) regulated activities under the SFO in Hong Kong, and b) I Win Asset Management Limited, which is licensed to conduct Type 4 (advising on securities) and Type 9 (asset management) regulated activities under the SFO in Hong Kong. I Win Securities Limited is the Stock Exchange Participant and holds one Stock Exchange Trading Right. I Win Securities Limited is a participant of the HKSCC.

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. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "confident" and similar statements. The Company may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission, in its annual report to shareholders, in press releases and other written materials and in verbal statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including but not limited to statements about the Company’s beliefs and expectations, are 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. Further information regarding these and other risks is included in the Company's filings with the Securities and Exchange Commission. All information provided in this press release is as of the date of the press release, and the Company undertakes no duty to update such information, except as required under applicable law.

For more information, please contact:

Garden Stage Limited
Chan Sze Ho
Chief Executive Officer
Email: rickychan@iwinsec.com
Tel: (852) 2688 6333

FAQ

Why did GSIW receive a Nasdaq deficiency notice?

GSIW received the notice because its stock price traded below $1.00 for 30 consecutive business days, violating Nasdaq's minimum bid price requirement.

What happens if GSIW stock doesn't reach $1.00 by March 4, 2026?

If GSIW doesn't regain compliance by March 4, 2026, it may be eligible for additional time if it meets other Nasdaq Capital Market listing requirements, or face potential delisting.

How can GSIW regain Nasdaq compliance?

GSIW must maintain a closing bid price of $1.00 or higher for at least 10 consecutive business days before March 4, 2026.

Will GSIW stock continue trading on Nasdaq during the compliance period?

Yes, GSIW shares will continue trading uninterrupted on Nasdaq under the ticker 'GSIW' during the 180-day compliance period.

What is the deadline for GSIW to regain Nasdaq compliance?

GSIW has until March 4, 2026 to regain compliance with the minimum bid price requirement.