SWVL HOLDINGS CORP Stock Price, News & Analysis

Swvl Holdings Corp (Nasdaq: SWVL) announced an update regarding its strategic review process to explore potential alternatives. The independent special committee has received interest for options under evaluation, but there is no timetable for completion. The company aims to maximize shareholder value, although the outcome remains uncertain. Additionally, Swvl reported challenges in cash generation and has postponed filing its 2022 Form 20-F due to limited resources amidst a volatile global economic environment.

On March 27, 2023, Swvl Holdings Corp (Nasdaq: SWVL) received a notice from Nasdaq regarding non-compliance with the MVPHS Requirement, which mandates a minimum market value of publicly held shares of $15 million. Currently, this notice does not affect the listing of SWVL shares. The company has until September 25, 2023, to regain compliance by maintaining the required market value for 10 consecutive business days. Swvl may consider options to meet these requirements or potentially transfer to the Nasdaq Capital Market, although no assurances can be made regarding compliance.

Swvl Holdings Corp (Nasdaq: SWVL) announced it has regained compliance with Nasdaq's minimum bid price requirement, closing the matter of previous non-compliance. Initially notified of non-compliance on November 1, 2022, due to its ordinary shares failing to maintain a closing bid price of $1.00 for 30 consecutive business days, Swvl has met the necessary condition by keeping its bid price above $1.00 for 10 consecutive trading days as of February 8, 2023. Swvl offers tech-enabled mass transit solutions, including various transportation services that are accessible and environmentally friendly.

Swvl Holdings Corp announced a reverse stock split of its Class A ordinary shares at a ratio of 1-for-25. This means every 25 shares will combine into 1 share with a new par value of $0.0025. The split will take effect on January 25, 2023, with trading on a split-adjusted basis starting on January 26, 2023. The action is aimed at regaining compliance with the Nasdaq minimum bid price requirement of $1.00 per share. Adjustments will be made to options and warrants accordingly. The company continues to trade under the symbol SWVL.

Swvl Holdings Corp (SWVL) received a notice from Nasdaq on January 11, 2023, indicating it is not compliant with the minimum market value requirement of $50 million. The company has until July 10, 2023, to meet this requirement by maintaining a minimum market value for 10 consecutive business days. If it fails, delisting could occur, though there is an opportunity to appeal. Swvl is closely monitoring its market value and may explore options to regain compliance or potentially transfer its shares to the Nasdaq Capital Market. The ordinary shares continue to trade on Nasdaq.

Swvl Holdings Corp (Nasdaq: SWVL) has formed a special committee of independent directors to evaluate Potential Strategic Transactions, including corporate sale and asset sales. This initiative aims to maximize shareholder value amid ongoing economic uncertainties and market volatility impacting cash generation and operational viability. The committee will assess all expressions of interest, working with advisors to ensure fairness. The company is also implementing cost reduction measures, which may include discontinuing certain operations. No timeline for completion has been set, and there is no guarantee of any transaction.

Swvl Holdings Corp (SWVL) is implementing significant cost-reduction measures as part of its ongoing portfolio optimization program. These measures include focusing on major markets like Egypt and Mexico, evaluating operations in smaller countries for potential sale or discontinuation, and reducing headcount by over 50%. The company is also cutting operating expenses, especially in discretionary spending like marketing. This decision comes amid economic uncertainty and volatility in capital markets that could affect Swvl's cash generation capabilities and commitments.

Swvl Holdings Corp (Nasdaq: SWVL) has received a notification from Nasdaq regarding non-compliance with Rule 5450(a)(1) due to its Class A ordinary shares closing bid price falling below $1.00 for 30 consecutive business days. The company has until May 1, 2023, to regain compliance by achieving a minimum bid of $1.00 for ten consecutive days. If compliance is not met, Swvl could face delisting. The company plans to consider options such as a reverse share split to address the deficiency and maintains that its Nasdaq listing is a priority.

Swvl Holdings Corp (NASDAQ: SWVL) reported significant improvements in profitability across its operations in Egypt, Turkey, Germany, Kenya, and Jordan, achieving Adjusted EBITDA breakeven in August 2022. These five countries accounted for 58% of Swvl's H1 2022 revenues, reflecting a 3.4x year-on-year revenue growth. The company anticipates reaching cash flow positivity in 2023, with expectations of breakeven at a full portfolio level by Q4 2022 and consolidated profitability next year. Both direct-to-consumer and enterprise segments performed positively in these regions.