IM Cannabis Regains Compliance with Nasdaq Stockholders' Equity Listing Requirement

IM Cannabis (NASDAQ: IMCC), a medical cannabis company operating in Israel and Germany, has successfully regained compliance with Nasdaq's listing requirements.

Rhea-AI Summary

IM Cannabis (NASDAQ: IMCC), a medical cannabis company operating in Israel and Germany, has successfully regained compliance with Nasdaq's listing requirements. The company received confirmation from Nasdaq on September 4, 2025 that it now meets the minimum stockholders' equity requirement of $2.5 million under Rule 5550(b)(1). As a result, IMCC's common stock will maintain its listing and continue trading on the Nasdaq Capital Market.

Positive

• Regained compliance with Nasdaq listing requirements
• Maintains Nasdaq Capital Market listing status
• Achieved minimum stockholders' equity requirement of $2.5 million

Negative

• Previous non-compliance with Nasdaq listing requirements indicates recent financial challenges

Argus Sep 5 session

-3.90% close to close Open Argus

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News Market Reaction – IMCC

On Sep 5, the day this news came out, IMCC closed 3.90% below the previous close.

Data tracked by StockTitan Argus for the Sep 5 session.

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TORONTO and GLIL YAM, Israel, Sept. 5, 2025 /PRNewswire/ -- IM Cannabis Corp. (NASDAQ: IMCC) (the "Company", "IM Cannabis", or "IMC"), a leading medical cannabis company with operations in Israel and Germany, today announced that it received notice from Nasdaq on September 4, 2025 that the Company has regained compliance with Nasdaq Listing Rule 5550(b)(1), which requires listed companies to maintain stockholders' equity of at least $2,500,000. The Company's common stock will continue to be listed and traded on the Nasdaq Capital Market.

About IM Cannabis Corp.

IMC (Nasdaq: IMCC) is an international cannabis company that provides premium cannabis products to medical patients in Israel and Germany, two of the largest medical cannabis markets. The Company leverages a transnational ecosystem powered by a unique data-driven approach and a globally sourced product supply chain. With an unwavering commitment to responsible growth and compliance with the strictest regulatory environments, the Company strives to amplify its commercial and brand power to become a global high-quality cannabis player.

The IMC ecosystem operates in Israel through its subsidiaries, which imports and distributes cannabis to medical patients, leveraging years of proprietary data and patient insights. The Company also operates medical cannabis retail pharmacies, online platforms, distribution centers, and logistical hubs in Israel that enable the safe delivery and quality control of IMC products throughout the entire value chain. In Germany, the IMC ecosystem operates through Adjupharm GmbH, where it distributes cannabis to pharmacies for medical cannabis patients.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking information or forward-looking statements under applicable Canadian and United States securities laws (collectively, "forward-looking statements"). All information that addresses activities or developments that we expect to occur in the future are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "expect", "likely" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions. Forward-looking statements are based on the estimates and opinions of management on the date the statements are made.

The above lists of forward-looking statements and assumptions are not exhaustive. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated or implied by such forward-looking statements due to a number of factors and risks. These include: the failure of the Company to comply with applicable regulatory requirements in a highly regulated industry; unexpected changes in governmental policies and regulations in the jurisdictions in which the Company operates; any unexpected failure to maintain in good standing or renew its licenses; the ability of the Company and Focus (collectively, the "Group") to deliver on their sales commitments or growth objectives; the reliance of the Group on third-party supply agreements to provide sufficient quantities of medical cannabis to fulfil the Group's obligations;the Group's possible exposure to liability, the perceived level of risk related thereto, and the anticipated results of any litigation or other similar disputes or legal proceedings involving the Group; the impact of increasing competition; any lack of merger and acquisition opportunities; adverse market conditions; the inherent uncertainty of production quantities, qualities and cost estimates and the potential for unexpected costs and expenses; risks of product liability and other safety-related liability from the usage of the Group's cannabis products; supply chain constraints; reliance on key personnel; the risk of defaulting on existing debt; risks surrounding war, conflict and civil unrest in Eastern Europe and the Middle East, including the impact of the Israel-Hamas war on the Company, its operations and the medical cannabis industry in Israel; risks associated with the Company focusing on the Israel and Germany markets; the Company's inability to realize upon the stated efficiencies and synergies of the Company as a global organization with domestic expertise in Israel and Germany; the Company's inability to realize upon its retail presence, distribution capabilities and data-driven insights; the Company's ability to continue to comply with Nasdaq's continued listing requirements and its ability to execute its business strategy; and the risks, uncertainties and factors set out under the heading "Risk Factors" in the Company's annual report on Form 20-F dated March 31, 2025, which is available on the Company's issuer profile on SEDAR+ at www.sedarplus.ca and Edgar at www.sec.gov/edgar. Any forward-looking statement included in this press release is made as of the date of this press release and is based on the beliefs, estimates, expectations and opinions of management on the date such forward-looking information is made. The Company does not undertake any obligation to update forward-looking statements except as required by applicable securities laws. Investors should not place undue reliance on forward-looking statements. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement.

Company Contact:
Oren Shuster, CEO
IM Cannabis Corp.
+972-77-3603504
info@imcannabis.com

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SOURCE IM Cannabis Corp.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What did IM Cannabis announce regarding Nasdaq compliance on September 4, 2025?

IM Cannabis announced it has regained compliance with Nasdaq Listing Rule 5550(b)(1) by meeting the minimum stockholders' equity requirement of $2.5 million.

Will IMCC stock continue trading on Nasdaq after the announcement?

Yes, IM Cannabis' common stock will continue to be listed and traded on the Nasdaq Capital Market after regaining compliance.

What are IM Cannabis' main markets of operation?

IM Cannabis operates primarily in Israel and Germany as a medical cannabis company.

What is the minimum stockholders' equity requirement for Nasdaq Capital Market listing?

Companies listed on the Nasdaq Capital Market must maintain a minimum stockholders' equity of $2.5 million under Rule 5550(b)(1).