Jiuzi Holdings Received Nasdaq Notification Letter Related to Late Filing of Annual Report on Form 20-F
- None.
- Risk of non-compliance with Nasdaq listing rules due to delayed annual report filing
The notification of non-compliance received by Jiuzi Holdings Inc. from the Nasdaq Stock Market is a significant indicator of potential governance or operational issues within the company. Investors often perceive such news negatively, as it may reflect underlying problems such as financial discrepancies, lack of internal controls, or even potential solvency issues. The company's failure to file its annual report in a timely manner could raise red flags about its financial health and transparency.
While the immediate impact on the stock's listing status is minimal, the long-term consequences could include investor skepticism, increased volatility in the stock price and possibly a hit to the company's reputation. The market often reacts to uncertainty and this development could lead to a decline in investor confidence until the company provides the overdue financial disclosures and demonstrates a clear path to compliance.
From a legal perspective, the receipt of a Deficiency Letter from Nasdaq is a procedural step in enforcing listing standards, which are important to maintaining the integrity of the market. Jiuzi Holdings Inc. must now craft a Compliance Plan that convincingly addresses the reasons for the delay and outlines measures to prevent future occurrences.
If the Compliance Plan is accepted, the extension granted could provide the company with a valuable window to rectify its reporting issues without the immediate threat of delisting. However, if the plan fails to satisfy Nasdaq's requirements, the company could face delisting proceedings, which would have serious repercussions for its ability to raise capital and for shareholders' liquidity.
Within the context of the new energy vehicle (NEV) market in China, timely and accurate financial reporting is essential for assessing a company's position in this highly competitive and rapidly evolving industry. The delay in filing the annual report by Jiuzi Holdings Inc. deprives stakeholders of critical information needed to evaluate the company's performance against its peers, market trends and regulatory changes in the NEV landscape.
Analyzing the potential impact on the company's market share and growth strategy is challenging without current financial data. The situation is compounded by the fact that NEV dealerships are heavily reliant on consumer trends, government policies and technological advancements, making the need for transparency and regular financial updates even more pertinent for investors and industry observers.
HANGZHOU, China, March 29, 2024 (GLOBE NEWSWIRE) -- Jiuzi Holdings Inc. (Nasdaq: JZXN; the "Company" or “JZXN”), an emerging new energy vehicle (NEV) dealership group operating under the brand name "Jiuzi" in China, announced today that it has received a letter from the Nasdaq Stock Market, dated March 25, 2024 (the “Deficiency Letter”), notifying the Company that it is not in compliance with the requirements for continued listing set forth in Nasdaq Listing Rule 5250(c)(1) because it did not timely file its annual report on Form 20-F for the year ended October 31, 2023 (the “2023 Annual Report”).
In accordance with Nasdaq Listing Rules, the Company has 60 calendar days from the date of the Deficiency Letter to submit a plan to regain compliance with Nasdaq Listing Rules (the “Compliance Plan”). If Nasdaq accepts the Compliance Plan, Nasdaq may grant the Company an extension until September 10, 2024 to regain compliance. The Company intends either to file its 2023 Annual Report or submit the Compliance Plan within the prescribed 60-day period.
The Deficiency Letter has no immediate impact on the listing of the Company’s ordinary shares on the Nasdaq Capital Market.
This announcement is made in compliance with Nasdaq Listing Rule 5810(b), which requires prompt disclosure of receipt of a deficiency notification.
About Jiuzi Holdings, Inc.
Jiuzi Holdings, Inc., headquartered in Hangzhou, China, and established in 2017, franchises and operates retail stores under the brand name "Jiuzi" to sell New Energy Vehicles ("NEVs") in third and fourth-tier cities in China. The Company mainly sells battery-operated electric vehicles and sources NEVs through more than twenty NEV manufacturers. It has 51 operating franchise stores and one company-owned store. For more information, visit the Company's website at http://www.zjjzxny.cn/.
Forward-Looking Statements
All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties. They are based on current expectations and projections about future events and financial trends that the Company believes may affect its financial condition, results of operations, business strategy, and financial needs, including the expectation that the Offering will be completed. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions. Specifically, forward-looking statements may include statements related to the following matters of the Company:
- Ability to implement its business plan;
- Changes in the Company’s product and service market; and
- Expansion plans and opportunities.
These forward-looking statements are based on information available as of the date of this press release and our management's current expectations, forecasts and assumptions, and involve a number of judgments, risks and uncertainties that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. The Company undertakes no obligation to update forward-looking statements to reflect subsequent events, circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct. Accordingly, forward-looking statements should not be relied upon as representing our views as of any subsequent date, and you should not place undue reliance on these forward-looking statements in deciding whether to invest in our securities. We do not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.
For more information, please contact:
Kim He
Email: kim@jzxn.com
FAQ
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