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CL Workshop Group Limited Receives Nasdaq Notice of Bid Price Deficiency

(Moderate)
(Very Negative)
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CL Workshop Group (Nasdaq:NWGL) received a Nasdaq notice dated May 6, 2026 that its ADSs closed below the required $1.00 minimum bid price for 30 consecutive business days (March 24, 2026–May 5, 2026), triggering noncompliance with Nasdaq Listing Rule 5550(a)(2).

The ADSs continue to trade uninterrupted under NWGL. The company has a 180-calendar-day compliance period until November 2, 2026 to regain a $1.00 closing bid for ten consecutive business days or pursue a second compliance period and potential corrective actions such as a reverse share split.

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Positive

  • ADSs continue trading uninterrupted on Nasdaq
  • Company has a 180-day initial compliance period until Nov 2, 2026

Negative

  • Closing bid price below $1.00 for 30 consecutive business days (Mar 24–May 5, 2026)
  • Risk of delisting if compliance not regained by Nov 2, 2026
  • Potential shareholder dilution or ratio change if a reverse share split is implemented

News Market Reaction – NWGL

+0.89%
5 alerts
+0.89% Session close to close
+6.4% Peak Tracked
-17.4% Trough Tracked
$14.93M Market Cap
0.7x Rel. Volume

In the May 8 session, NWGL gained 0.89%, reflecting a mild positive market reaction. Argus tracked a peak move of +6.4% during that session. Argus tracked a trough of -17.4% from its starting point during tracking. Our momentum scanner triggered 5 alerts that day, indicating moderate trading interest and price volatility.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement details Nasdaq’s notice that NWGL’s ADSs failed to meet the US$1.00 minimum bid pr...
Analysis

This announcement details Nasdaq’s notice that NWGL’s ADSs failed to meet the US$1.00 minimum bid price for 30 consecutive business days, triggering an initial 180‑day compliance window to regain listing standards. Recent filings noted going‑concern uncertainty and operational risks, adding context to the listing deficiency. Investors may watch the closing bid price relative to the US$1.00 threshold and any actions such as reverse splits or ADS ratio changes aimed at restoring compliance.

Key Figures

Minimum bid price: US$1.00 per ADS Sub‑US$1.00 duration: 30 consecutive business days Initial compliance period: 180 calendar days +3 more
6 metrics
Minimum bid price US$1.00 per ADS Nasdaq Listing Rule 5550(a)(2) threshold
Sub‑US$1.00 duration 30 consecutive business days Below minimum bid from Mar 24, 2026 to May 5, 2026
Initial compliance period 180 calendar days Time to regain bid-price compliance to Nov 2, 2026
Compliance confirmation window 10 consecutive business days Required at or above US$1.00 per ADS
Potential extra grace Additional 180 calendar days Possible second compliance period if criteria met
Action deadline buffer 10 business days Deadline before Nov 2, 2026 or end of second period for split/ratio change

Historical Context

3 past events · Latest: Feb 23 (Positive)
Pattern 3 events
Date Event Sentiment 24h Move Catalyst
Feb 23 Strategic partnership Positive -4.6% Announced cooperation to build and expand dealer sales and channel networks.
Dec 29 Interim results Neutral -2.2% Reported lower revenue but a small profit and detailed corporate restructuring.
Dec 16 Annual meeting Neutral -1.3% Shareholders approved name change, share reorganization and updated governance documents.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Recent announcements, including a strategic partnership and governance/corporate actions, were followed by negative 24-hour price reactions, indicating a tendency for the stock to trade lower around news events.

Recent Company History

Over the last few quarters, CL Workshop Group has navigated major corporate changes, including a name and share reorganization effective December 29, 2025 and a new strategic partnership announced on February 23, 2026. Unaudited interim results for the six months ended June 30, 2025 showed revenue declines but a small profit. Each of these disclosures saw shares fall in the subsequent 24 hours, providing context for the negative reaction to the Nasdaq minimum bid-price deficiency notice.

Key Terms

american depositary shares, class a ordinary shares, nasdaq capital market, reverse share split
4 terms
american depositary shares financial
"the closing bid price of the Company's American Depositary Shares, each representing"
American depositary shares (ADSs) are a way for investors in the United States to buy shares of foreign companies without dealing with international markets directly. They represent ownership in a foreign company's stock and are traded on U.S. stock exchanges, making it easier for American investors to buy, sell, and own parts of companies from around the world.
class a ordinary shares financial
"each representing eight Class A ordinary shares of the Company ("ADSs")"
Class A ordinary shares are a type of ownership stake in a company that typically grants voting rights to shareholders, allowing them to have a say in important company decisions. They often come with priority in receiving dividends or profits, making them attractive to investors seeking influence and potential income. These shares help distinguish different levels of ownership and rights within a company's stock structure.
nasdaq capital market regulatory
"all other initial listing standards for The Nasdaq Capital Market, with the exception"
The Nasdaq Capital Market is a platform where smaller, emerging companies can list their shares for trading by investors. It provides these companies with access to funding and visibility, helping them grow, much like a local marketplace where new vendors can introduce their products to potential customers. For investors, it offers opportunities to discover early-stage companies with growth potential.
reverse share split financial
"including by effecting a reverse share split and/or changing the ratio"
A reverse share split is when a company reduces the number of its shares outstanding by combining multiple shares into one, effectively increasing the price of each share. For investors, this can help improve the company's image or meet stock exchange listing requirements, but it does not change the total value of their investment. It’s similar to turning many small pieces of a puzzle into fewer larger pieces—nothing new is added or lost, just rearranged.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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NEW YORK, May 8, 2026 /PRNewswire/ -- CL Workshop Group Limited (Nasdaq: NWGL) (the "Company"), a global forestry company that focuses on the timber and wood products industry, today announced that it received a notification letter dated May 6, 2026 from Nasdaq's Listing Qualifications Department indicating that the closing bid price of the Company's American Depositary Shares, each representing eight Class A ordinary shares of the Company ("ADSs"), was below the minimum requirement of US$1.00 per ADS for 30 consecutive business days from March 24, 2026 through May 5, 2026, and the Company is therefore not in compliance with the minimum bid price requirement set forth under Nasdaq Listing Rule 5550(a)(2).

The notification letter has no immediate effect on the listing of the Company's ADSs, which will continue to trade uninterrupted on Nasdaq under the ticker "NWGL."

Pursuant to Nasdaq Listing Rule 5810(c)(3)(A), the Company has a compliance period of 180 calendar days, or until November 2, 2026, to regain compliance with the minimum bid price rule. If, at any time during the 180-day period, the closing bid price per ADS of the Company's ADSs is US$1.00 or above for a minimum of ten consecutive business days, Nasdaq will provide written confirmation of compliance and this matter will be closed.

In the event the Company does not regain compliance with the minimum bid price requirement by November 2, 2026, the Company may be eligible for an additional 180 calendar day grace period to regain compliance. To qualify, the Company will 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, with the exception of the bid price requirement, and will need to provide written notice of its intention to cure the deficiency during the second compliance period, including by effecting a reverse share split and/or changing the ratio of Class A ordinary shares to ADSs, if necessary. If the Company chooses to implement a reverse share split and/or change the ratio of Class A ordinary shares to ADSs, it must complete such action no later than 10 business days prior to November 2, 2026, or the expiration of the second compliance period if granted.

This press release is issued pursuant to Nasdaq Listing Rule 5810(b), which requires prompt disclosure of receipt of a deficiency notification. The Company is currently evaluating various options available to regain compliance. The notification letter has no effect at this time on the listing of the Company's ADSs, which will continue to trade uninterrupted on Nasdaq under the ticker "NWGL."

About CL Workshop Group Limited

CL Workshop Group Limited is a global forestry company that focuses on the timber and wood products industry. Nature Wood offers a broad line of products, including logs, decking, flooring and sawn timber, primarily through its worldwide sales network.

Forward-Looking Statements

This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. All forward-looking statements, expressed or implied, in this release are based only on information currently available to us and speak only as of the date on which they are made. Investors can find many, but not all, of these statements by the use of words such as "approximates," "believes," "hopes," "expects," "anticipates," "estimates," "projects," "intends," "plans," "will," "would," "should," "could," "may" or other similar expressions in this release. Except as otherwise required by applicable law, we disclaim any duty to publicly update any forward-looking statement to reflect events or circumstances after the date of this release.

These statements are subject to uncertainties and risks, including, but not limited to, uncertainties related to market conditions, the Company's ability to regain compliance with Nasdaq's minimum bid price requirement, and other factors discussed in our filings with the SEC.

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, and the Company cautions investors that actual results may differ materially from anticipated results and encourages investors to review other factors that may affect its future results in the Company's filings with the SEC. Additional factors are discussed in the Company's filings with the SEC, which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

For investor and media inquiries, please contact:

CL Workshop Group Limited
Name: Wang Hong
Title: CFO
Email: nwglwh@163.com

 

Cision View original content:https://www.prnewswire.com/news-releases/cl-workshop-group-limited-receives-nasdaq-notice-of-bid-price-deficiency-302766944.html

SOURCE CL Workshop Group Limited

FAQ

What did CL Workshop Group (NWGL) receive from Nasdaq on May 6, 2026?

It received a notice that ADSs closed under $1.00 for 30 consecutive business days. According to the company, this triggers noncompliance with Nasdaq Listing Rule 5550(a)(2) but does not affect current listing or trading.

How long does NWGL have to regain compliance with Nasdaq after the May 6, 2026 notice?

NWGL has a 180-calendar-day compliance period ending on November 2, 2026. According to the company, regaining a $1.00 closing bid for ten consecutive business days during that period will restore compliance.

What happens if CL Workshop Group does not regain compliance by November 2, 2026?

If compliance is not regained, the company may be eligible for an additional 180-day period subject to Nasdaq standards. According to the company, it would need to meet market-value and other listing criteria and provide written intent to cure the deficiency.

Could NWGL use a reverse share split to address the Nasdaq bid-price deficiency?

Yes; a reverse share split or ADS ratio change is listed as a possible cure. According to the company, any such action must be completed no later than 10 business days before November 2, 2026 if a second period applies.

Will the Nasdaq notice affect trading of CL Workshop Group ADSs (NWGL) now?

No; trading continues uninterrupted on Nasdaq under the ticker NWGL. According to the company, the notice is a disclosure requirement and has no immediate effect on the listing or daily trading.