Tuanche Limited announces the receipt of Nasdaq non-compliance notifications regarding the annual meeting and the minimum stockholders’ equity requirements

Rhea-AI Summary

TuanChe (NASDAQ: TC), a leading automotive marketplace platform in China, received two non-compliance notifications from Nasdaq on January 16, 2025. The first notification concerns the company's failure to hold an annual shareholders' meeting within twelve months of December 31, 2023, as required by Rules 5620(a) and 5810(c)(2)(G).

The second notification relates to non-compliance with Rule 5550(b)(1), which requires maintaining minimum stockholders' equity of $2,500,000. TuanChe reported a stockholder's deficit of ($787,000) as of June 30, 2024, and does not meet alternative listing standards.

The company has 45 days to submit compliance plans. If accepted, TuanChe will have until June 30, 2025 to address the annual meeting issue and 180 days from January 16, 2025 to resolve the equity deficiency. The company plans to seek a home country practice exemption for the annual meeting requirement and will submit a plan to address the equity shortfall.

Positive

• Company plans to submit compliance plans within required timeframe
• Potential exemption from annual meeting requirement through home country practice

Negative

• Stockholder's deficit of $787,000 reported as of June 30, 2024
• Non-compliance with Nasdaq's minimum $2.5M stockholders' equity requirement
• Failure to hold required annual shareholder meeting
• Risk of potential delisting if compliance is not achieved

BEIJING, China, Jan. 23, 2025 (GLOBE NEWSWIRE) -- TuanChe Limited (“TuanChe,” “Company,” “we,” or “our”) (NASDAQ: TC), a leading automotive marketplace platform in China, announced today that on January 16, 2025, it received two notification letters from the Nasdaq Listing Qualifications Staff of The NASDAQ Stock Market LLC (“Nasdaq”). The letters notified the Company of its non-compliance with the annual meeting requirement and the minimum stockholders’ equity requirement, as outlined in the Nasdaq Listing Rules (the “Rules”) for continued listing on the Nasdaq stock exchange.

Under Rules 5620(a) and 5810(c)(2)(G), the Company is required to hold an annual meeting of shareholders within twelve months of the Company’s fiscal year end. The Company has not yet held an annual meeting of shareholders within twelve months of December 31, 2023.

Under Rule 5550(b)(1), the Company is required to maintain a minimum of $2,500,000 in stockholders’ equity for continued listing. The Company reported a stockholder’s deficit of ($787,000) as of June 30, 2024, and as of today, the Company does not meet the alternative continued listing standards of market value of listed securities or net income from continuing operations.

Under the Rules, the Company has 45 calendar days to submit a plan to regain compliance. If the plan is accepted, the Company will be granted an exception until June 30, 2025 to cure the annual meeting deficiency and up to 180 calendar days from January 16, 2025 to cure the minimum stockholders’ equity deficiency.

The Company, as a foreign private issuer, plans to follow its home country practice and seek an exemption from the annual general meeting requirement under the Rule 5620(a). Additionally, the Company intends to submit a plan within the required time frame to regain compliance under the Rule 5550(b).

About TuanChe Limited

Founded in 2010, TuanChe Limited (NASDAQ: TC) is China’s leading automotive marketplace platform. TuanChe is dedicated to connecting automotive consumers with manufacturers, dealers, and service providers. By integrating its digital platforms with offline sales events, TuanChe offers comprehensive automotive marketing and transaction services. Through its integrated marketing strategies, TuanChe transforms individual and independent car purchases into large-scale group buying experiences, using an interactive many-to-many model. Furthermore, leveraging its proprietary data analytics and advanced digital marketing system, TuanChe’s online marketing service platform helps industry customers increase the efficiency and effectiveness of their advertising placements. TuanChe is currently exploring ways to enter into the cryptocurrency sector.

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, the Company’s business plans and development, business outlook, which can be identified by terminology such as “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “potential,” “continue,” “is/are likely to” or other similar expressions. Such statements are based upon management’s current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond the Company’s control. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the U.S. Securities and Exchange Commission. The Company does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under law.

For investor and media inquiries, please contact:

TuanChe Limited
Investor Relations
Tel: +86 (10) 6397-6232
Email: ir@tuanche.com

SOURCE TuanChe Limited

FAQ

What are the two Nasdaq non-compliance notifications received by TuanChe (TC) in January 2025?

TuanChe received notifications for failing to hold an annual shareholders' meeting and not maintaining the minimum required stockholders' equity of $2.5 million.

What is TuanChe's (TC) current stockholders' equity deficit as of June 2024?

TuanChe reported a stockholders' deficit of $787,000 as of June 30, 2024.

How long does TuanChe (TC) have to resolve its Nasdaq compliance issues?

TuanChe has 45 days to submit compliance plans, after which it could receive until June 30, 2025 for the annual meeting issue and 180 days from January 16, 2025 for the equity requirement.

What solutions is TuanChe (TC) proposing to address the Nasdaq notifications?

TuanChe plans to seek a home country practice exemption for the annual meeting requirement and will submit a plan to address the stockholders' equity deficiency.