THE GROWHUB LIMITED Announces Receipt of Nasdaq Notification Letter Regarding Stockholders' Equity Deficiency

Rhea-AI Summary

GrowHub (NASDAQ: TGHL) received a Nasdaq notification on May 26, 2026, that its stockholders' equity of $2,299,129 reported in its Form 20-F for December 31, 2025, is below the $2,500,000 minimum required by Nasdaq Listing Rule 5550(b)(1).

The notice does not immediately affect the listing. GrowHub has until July 10, 2026 to submit a compliance plan and may receive up to 180 days from the notification date to demonstrate compliance if its plan is approved.

Positive

• Nasdaq notification does not immediately affect TGHL's current listing status
• Potential extension of up to 180 days to regain equity compliance

Negative

• Reported stockholders' equity of $2,299,129 below $2,500,000 Nasdaq minimum
• Formally out of compliance with Nasdaq Listing Rule 5550(b)(1)
• Limited 45-day window to submit an acceptable compliance plan

News Market Reaction – TGHL

+2.29%

15 alerts

+2.29% Session close to close

+42.0% Peak in 12 hr 8 min

$9.38M Market Cap

1.3x Rel. Volume

In the May 29 session, TGHL gained 2.29%, reflecting a moderate positive market reaction. Argus tracked a peak move of +42.0% during that session. Our momentum scanner triggered 15 alerts that day, indicating notable trading interest and price volatility.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement centers on Nasdaq’s notice that stockholders’ equity of $2,299,129 fell below the ...

Analysis

This announcement centers on Nasdaq’s notice that stockholders’ equity of $2,299,129 fell below the $2,500,000 requirement for the Nasdaq Capital Market. The company retained its listing status while being given until July 10, 2026 to submit a compliance plan, with a possible 180-day extension. In context of previously disclosed net losses and a separate minimum bid price deficiency, investors may watch future filings and updates on the remediation plan and financial trajectory.

Key Figures

Stockholders' equity: $2,299,129 Nasdaq equity requirement: $2,500,000 Compliance plan deadline: July 10, 2026 +5 more

8 metrics

Stockholders' equity $2,299,129 As of December 31, 2025 per Form 20-F

Nasdaq equity requirement $2,500,000 Minimum stockholders' equity under Nasdaq Listing Rule 5550(b)(1)

Compliance plan deadline July 10, 2026 Deadline to submit plan to regain compliance

Potential extension period 180 calendar days Maximum extension from date of Nasdaq notification if plan accepted

Net loss 2025 S$17.20M (US$13.38M) Reported in 2025 annual report (Form 20-F)

Net loss 2024 S$2.36M (US$1.73M) Reported in 2024 within 2025 Form 20-F

Class A shares 14,866,470 shares Class A Ordinary Shares outstanding per Form 20-F

Class B voting power 87.53% Founder-controlled voting power via Class B shares

Key Terms

nasdaq capital market, form 20-f, securities and exchange commission, controlled company

4 terms

nasdaq capital market regulatory

"requirement for continued listing on the Nasdaq Capital Market."

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.

form 20-f regulatory

"as reported in its Form 20-F for the period ended December 31, 2025"

Form 20-F is the standardized annual disclosure that non-U.S. companies must file with the U.S. securities regulator when their shares are traded in the U.S.; it contains audited financial statements, a plain-language description of the business, management discussion, governance details and key risk factors. It matters to investors because it provides a consistent, comparable company “report card” and rulebook, helping buyers assess financial health, governance and risks before investing.

securities and exchange commission regulatory

"filed with the Securities and Exchange Commission (the "SEC") on May 15, 2026"

A national government agency that enforces rules for buying, selling and disclosing information about stocks and other investments, acting like a referee and scorekeeper for financial markets. It requires companies to share clear, regular financial and business information and investigates fraud or rule-breaking, which matters to investors because those rules and disclosures help ensure fair prices, reduce hidden risks and make it easier to compare investment choices.

controlled company regulatory

"and the company is treated as a “controlled company” under Nasdaq rules."

A controlled company is a publicly traded firm where one shareholder or a small group holds enough voting power to determine board members and major strategic choices. For investors this matters because control can speed decision-making and protect long-term plans, but it also raises the risk that majority owners will favor their own interests over minority shareholders, reducing outside oversight—like a family-owned restaurant that sold shares but the family still calls the shots.

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

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SINGAPORE, May 29, 2026 /PRNewswire/ -- THE GROWHUB LIMITED (NASDAQ: TGHL) ("GrowHub" or the "Company"), a Singapore-based company leveraging blockchain technology to enhance product traceability and authenticity, announced that it received a notification letter from The Nasdaq Stock Market LLC ("Nasdaq") dated May 26, 2026, notifying the Company that, based on the reported stockholders' equity of $2,299,129 of the Company as reported in its Form 20-F for the period ended December 31, 2025, filed with the Securities and Exchange Commission (the "SEC") on May 15, 2026, it was no longer in compliance with the minimum stockholders' equity requirement for continued listing on the Nasdaq Capital Market. Nasdaq Listing Rule 5550(b)(1) requires listed companies to maintain stockholders' equity of at least $2,500,000.

The Nasdaq notification does not affect the listing of the Company's securities at this time. The notification provides the Company has until July 10, 2026, or 45 calendar days from the date of the notification, to submit to Nasdaq a plan to regain compliance with Nasdaq Listing Rule 5550(b)(1). The Company intends to regain compliance within the applicable compliance period and is currently working on a plan.

If the plan is approved, Nasdaq can grant an extension of up to 180 calendar days from the date of the notification letter to evidence compliance.

About THE GROWHUB LIMITED 

The GrowHub Limited is a Singapore-based company specializing in enhancing product traceability and authenticity within supply chains through its proprietary blockchain technology platform. GrowHub offers solutions such as blockchain traceability, anti-counterfeit measures, and carbon management to promote transparency and sustainability. GrowHub's business comprises three main divisions: the GrowHub Platform, a revolutionary traceability blockchain technology solution, product trading facilitation offering, and IT professional services. For more information, visit https://thegrowhub.co/. 

Cautionary Note Regarding Forward-Looking Statements

Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company's current expectations. 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. 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. The Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to read the risk factors contained in the Company's final prospectus and other reports it files with the SEC before making any investment decisions regarding the Company's securities. 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.

View original content:https://www.prnewswire.com/news-releases/the-growhub-limited-announces-receipt-of-nasdaq-notification-letter-regarding-stockholders-equity-deficiency-302785439.html

SOURCE THE GROWHUB LIMITED

FAQ

What Nasdaq listing issue did THE GROWHUB LIMITED (NASDAQ: TGHL) announce on May 29, 2026?

GrowHub announced it received a Nasdaq notification that its stockholders' equity no longer meets the minimum listing requirement. According to the company, equity was $2,299,129 versus the $2,500,000 required under Nasdaq Listing Rule 5550(b)(1).

Does the Nasdaq stockholders' equity deficiency notice immediately affect TGHL stock listing?

The Nasdaq notification does not immediately affect the listing of TGHL securities. According to the company, its shares remain on the Nasdaq Capital Market while it prepares a plan to regain compliance within the specified timeframe.

What deadline does THE GROWHUB LIMITED (TGHL) have to respond to the Nasdaq equity deficiency?

GrowHub has until July 10, 2026, to submit a compliance plan to Nasdaq. According to the company, this 45-day period runs from the May 26, 2026, notification letter date under Listing Rule 5550(b)(1).

How long could TGHL have to regain Nasdaq stockholders' equity compliance?

If Nasdaq approves GrowHub's plan, the company may receive up to 180 days from the notification date to evidence compliance. According to the company, this extension would run from May 26, 2026, subject to Nasdaq approval.

Why is THE GROWHUB LIMITED (TGHL) out of compliance with Nasdaq Listing Rule 5550(b)(1)?

GrowHub is out of compliance because its reported stockholders' equity is $2,299,129, below the $2,500,000 minimum. According to the company, this figure comes from its Form 20-F for the period ended December 31, 2025.

What steps does THE GROWHUB LIMITED (TGHL) plan to take to regain Nasdaq compliance?

GrowHub intends to regain compliance within the applicable period and is currently working on a plan. According to the company, this plan will be submitted to Nasdaq by the July 10, 2026, deadline for review.