Shineco Regains Compliance with Nasdaq Minimum Bid Price Requirement

Rhea-AI Summary

Shineco, Inc. (SISI) has regained compliance with the Nasdaq minimum bid price requirement, with its common stock price being at least $1.00 per share for 15 consecutive business days. The company received formal notice from Nasdaq confirming compliance, signaling positive news for shareholders.

Market Research Analyst

The recent announcement from Shineco, Inc. regarding its compliance with the Nasdaq minimum bid price requirement is a significant development for the company and its investors. The compliance indicates that Shineco's stock has maintained a closing bid price of at least $1.00 for 15 consecutive business days, which can be seen as a reflection of investor confidence and market acceptance of the company's business strategy and outlook.

From a market research perspective, this compliance lifts the immediate threat of delisting, which can have severe repercussions, including reduced liquidity and access to capital. It is also a signal to potential investors that the company meets Nasdaq's standards, which could potentially increase the stock's attractiveness. However, it is important to note that while meeting this requirement is positive, it is only one aspect of the company's overall health. Investors should consider other financial metrics and company fundamentals when evaluating Shineco's long-term potential.

Financial Analyst

Regaining compliance with Nasdaq's minimum bid price requirement is often seen as a positive step towards stabilizing a company's stock price and can provide a more favorable environment for raising capital. For Shineco, this development might ease investor concerns regarding the stability and future of the company on the stock market. A stabilized stock price above the $1 threshold also helps in avoiding the potential costs and stigma associated with being listed on less prestigious exchanges.

However, it is important for investors to analyze whether the price sustainability was due to inherent business improvements or external market conditions. They should also look for trends in the company's revenue growth, profit margins and R&D investments to assess the potential for future growth. A closer examination of the company's quarterly financial reports and future guidance would provide a more comprehensive understanding of its financial health.

Legal Expert

From a legal standpoint, compliance with Nasdaq's Listing Rule 5550(a)(2) is crucial for Shineco to maintain its listing on a major exchange. The formal notice of compliance signifies that the company has successfully navigated the regulatory requirements set forth by Nasdaq, which governs the listing standards for publicly traded companies. This compliance is not only a technical requirement but also serves as a testament to the company's governance and its ability to meet regulatory standards.

It is important for current and prospective shareholders to understand that while this compliance resolves an immediate regulatory concern, it does not provide immunity against future non-compliance. Continuous monitoring of the company's adherence to all relevant listing requirements is necessary to ensure long-term stability and to uphold shareholder interests.

BEIJING, March 12, 2024 (GLOBE NEWSWIRE) -- Shineco, Inc. (“Shineco” or the “Company”; NASDAQ: SISI), a provider of technologically advanced healthcare products and services, announced today that on March 11, 2024, the Company received formal notice from the Listing Qualifications Department of The Nasdaq Stock Market (“Nasdaq”) indicating that the Company has evidenced compliance with the minimum bid price requirement set forth in Nasdaq Listing Rule5550(a)(2). The notice indicated that as a result of the closing bid price of the Company’s common stock having been at least $1.00 per share for the period of 15 consecutive business days, from February 16,^, 2024, to March 8, 2024, the Company has regained compliance with Nasdaq Listing Rule 5550(a)(2) and advised that this matter is now closed.

About Shineco, Inc.

Shineco Inc. (“Shineco” or the “Company”) aims to ‘care for a healthy life and improve the quality of life’, by providing safe, efficient and high-quality health and medical products and services to society. Shineco, operating through subsidiaries, has researched and developed 33 vitro diagnostic reagents and related medical devices to date, and the Company also produces and sells healthy and nutritious foods. For more information about Shineco, please visit www.biosisi.com/.

Forward-Looking Statements

This news release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements can be identified by terminology such as “may”, “will”, “should”, “could”, “intend”, “expect”, “plan”, “budget”, “forecast”, “anticipate”, “believe”, “estimate”, “predict”, “potential”, “continue”, “evaluating” or similar words. Forward-looking statements should not be relied upon because they are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. You are cautioned not to rely on any forward-looking statements. Actual results may differ materially from historical results or those indicated by the forward-looking statements as a result of a variety of factors including, but not limited to, risks and uncertainties associated with the Company’s ability to raise additional funding, its ability to maintain and grow its business, variability of operating results, its ability to maintain and enhance its brand, its development and introduction of new products and services, the ability to obtain all necessary regulatory approvals in the jurisdictions where it intends to market and sell its products the successful integration of acquired companies, technologies and assets into its portfolio of products and services, marketing and other business development initiatives, competition in the industry, general government regulations, economic conditions, the impact of the COVID-19 pandemic, dependence on key personnel, the ability to attract, hire and retain personnel who possess the technical skills and experience necessary to meet the requirements of its clients, and its ability to protect its intellectual property. Shineco encourages you to review other factors that may affect its future results in its filings with the Securities and Exchange Commission. The forward-looking statements in this press release are based only on information currently available to us and speak only as of the date of this press release, and Shineco assumes no obligation to update any forward-looking statements except as required by the applicable rules and regulations.

For more information, please contact:

Shineco,Inc.
secretary@shineco.tech
Mobile: +86-010-68130220

Precept Investor Relations LLC
David J. Rudnick
david.rudnick@preceptir.com
Mobile: +1-646-694-8538

FAQ

What did Shineco, Inc. announce regarding its compliance with Nasdaq rules?

Shineco, Inc. announced that it has regained compliance with the minimum bid price requirement set forth in Nasdaq Listing Rule 5550(a)(2).

What was the closing bid price of Shineco, Inc.'s common stock during the compliance period?

The closing bid price of Shineco, Inc.'s common stock was at least $1.00 per share for 15 consecutive business days from February 16, 2024, to March 8, 2024.

What was the outcome of Shineco, Inc.'s compliance status with Nasdaq rules?

Shineco, Inc. has regained compliance with Nasdaq Listing Rule 5550(a)(2) and the matter is now closed, as confirmed by formal notice from Nasdaq.