Primech Holdings Receives NASDAQ Minimum Bid Price Requirement Extension

Rhea-AI Summary

Primech Holdings (Nasdaq: PMEC) has received a 180-day extension from Nasdaq until May 12, 2025, to regain compliance with the minimum $1 bid price requirement. The company failed to meet this requirement during the initial compliance period ending November 11, 2024. To maintain listing, PMEC must achieve a closing bid price of $1 or above for at least 10 consecutive trading days before the deadline. The company may implement a reverse share split if necessary. Currently, the Ordinary Shares continue trading on the Nasdaq Capital Market without immediate impact.

Positive

• Granted additional 180 days to maintain Nasdaq listing
• Meets all other Nasdaq Capital Market listing requirements except bid price
• Trading continues unaffected on Nasdaq Capital Market

Negative

• Failed to maintain minimum $1 bid price requirement
• May need to implement reverse share split to maintain listing
• Risk of potential delisting if compliance not achieved by May 2025

News Market Reaction

-2.33%

1 alert

-2.33% News Effect

On the day this news was published, PMEC declined 2.33%, reflecting a moderate negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

SINGAPORE, Nov. 27, 2024 (GLOBE NEWSWIRE) -- Primech Holdings Limited (Nasdaq: PMEC), an established technology-driven facility services provider in the public and private sectors operating mainly in Singapore, announced that it received a letter from The Nasdaq Stock Market LLC ("Nasdaq"), notifying the Company that it is eligible for an additional 180 calendar day period, or until May 12, 2025, to regain compliance with the Nasdaq's minimum $1 bid price per share requirement.

The Company was first notified by Nasdaq of its failure to maintain a minimum bid price of $1 per share for 30 consecutive trading days under Nasdaq Listing Rule 5550(a)(2) on May 14, 2024, and was given until November 11, 2024 to regain compliance. The Company did not regain compliance with the minimum $1 bid price per share requirement during the first 180-calendar-day compliance period and submitted a written request to the Nasdaq's staff to afford it an additional 180-day compliance period to cure the deficiency.

Nasdaq's determination is based on the Company meeting the continued listing requirement for market value of publicly held shares and all other applicable requirements for initial listing on the Nasdaq Capital Market, with the exception of the bid price requirement, and the Company's written notice of its intention to cure the deficiency during the second compliance period and if necessary, by effecting a reverse share split.

If at any time before May 12, 2025, the bid price of the ordinary shares of the Company ("Ordinary Shares") closes at or above $1 per share for a minimum of 10 consecutive trading days, the Company will regain compliance with the Nasdaq Listing Rules, and the matter will be closed. However, Nasdaq may, in its discretion, require the Ordinary Shares to maintain a bid price of at least $1.00 for a period in excess of ten consecutive business days, but generally no more than 20 consecutive business days, before determining that the Company has demonstrated an ability to maintain long-term compliance.

This current notification from Nasdaq has no immediate effect on the listing or trading of the Ordinary Shares, which will continue to trade on the Nasdaq Capital Market.

About Primech Holdings Limited

Headquartered in Singapore, Primech Holdings Limited is a leading provider of comprehensive technology-driven facilities services, predominantly serving both public and private sectors throughout Singapore. Primech Holdings offers an extensive range of services tailored to meet the complex demands of its diverse clientele. Services include advanced general facility maintenance services, specialized cleaning solutions such as marble polishing and facade cleaning, meticulous stewarding services, and targeted cleaning services for offices and homes. Known for its commitment to sustainability and cutting-edge technology, Primech Holdings integrates eco-friendly practices and smart technology solutions to enhance operational efficiency and client satisfaction. This strategic approach positions Primech Holdings as a leader in the industry and a proactive contributor to advancing industry standards and practices in Singapore and beyond. For more information, visit www.primechholdings.com.     

Forward-Looking Statements

Certain statements in this announcement are forward-looking statements, including, for example, statements about completing the acquisition, anticipated revenues, growth, and expansion. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company's current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy, and financial needs. These forward-looking statements are also based on assumptions regarding the Company's present and future business strategies and the environment in which the Company will operate in the future. Investors can find many (but not all) of these statements by the use of words such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "likely to" or other similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or 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 that such expectations will be correct. The Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company's registration statement and other filings with the SEC.

Company Contact:

Email: ir@primech.com.sg

Investor Relations Contact:

Matthew Abenante, IRC
President
Strategic Investor Relations, LLC
Tel: 347-947-2093
Email: matthew@strategic-ir.com

 

FAQ

What is the deadline for Primech Holdings (PMEC) to meet Nasdaq's minimum bid requirement?

Primech Holdings (PMEC) has until May 12, 2025, to meet Nasdaq's minimum bid requirement of $1 per share.

How can Primech Holdings (PMEC) regain Nasdaq compliance?

PMEC can regain compliance if its stock closes at or above $1 per share for a minimum of 10 consecutive trading days before May 12, 2025, or by implementing a reverse share split if necessary.

Will Primech Holdings (PMEC) be immediately delisted from Nasdaq?

No, PMEC will continue trading on the Nasdaq Capital Market while working to meet the minimum bid requirement during the extension period until May 12, 2025.