STOCK TITAN

CLPS (NASDAQ: CLPS) hit with Nasdaq minimum $1 bid warning, weighs reverse split

Filing Impact
(Neutral)
Filing Sentiment
(Neutral)
Form Type
6-K

Rhea-AI Filing Summary

CLPS Incorporation received a Nasdaq notice that its common shares no longer meet the exchange’s minimum bid price requirement of $1.00 per share after trading below that level for 30 consecutive business days.

CLPS keeps its Nasdaq Global Market listing for now and has a 180‑day compliance period, until November 23, 2026, to lift its closing bid to at least $1.00 for 10 straight business days. If it fails, the company may seek an additional 180‑day grace period by transferring to the Nasdaq Capital Market and could use a reverse share split to regain compliance. The company states that the notification does not affect its business operations and that it will monitor its share price and consider reasonable measures to restore compliance.

Positive

  • None.

Negative

  • Nasdaq minimum bid price deficiency creates listing risk: CLPS common shares traded below $1.00 for 30 consecutive business days, triggering a Nasdaq notice that could ultimately result in transfer to a lower tier or delisting if compliance is not regained.

Insights

Nasdaq bid-price deficiency creates listing risk but no immediate delisting.

CLPS Incorporation has fallen out of compliance with Nasdaq’s $1.00 minimum bid price rule after 30 consecutive trading days below that level. Its shares continue to trade on the Nasdaq Global Market, so near-term trading mechanics are unchanged.

The company has a 180‑day window, until November 23, 2026, to get its closing bid back to at least $1.00 for 10 straight business days. If it does not, it can request a transfer to the Nasdaq Capital Market, pay a $5,000 application fee, and potentially secure another 180‑day period.

Management explicitly mentions possible actions such as a reverse share split to regain compliance. The filing also notes that the notification does not affect ongoing business operations, so the issue is primarily about market listing status rather than current operating performance.

Minimum bid price requirement $1.00 per share Nasdaq Listing Rule 5450(a)(1) threshold
Consecutive days below $1.00 30 business days Period from April 14, 2026 to May 26, 2026
Initial compliance period 180 calendar days Until November 23, 2026 to regain bid price compliance
Required compliant streak 10 business days Closing bid must be at least $1.00 for this period
Potential additional compliance period 180 calendar days Available upon transfer to Nasdaq Capital Market
Nasdaq application fee $5,000 Non-refundable fee for transfer application
Nasdaq Listing Rule 5450(a)(1) regulatory
"which is not in compliance with Nasdaq Listing Rule 5450(a)(1) for continued listing"
Nasdaq Listing Rule 5450(a)(1) is a continued-listing standard that sets a minimum share price companies must maintain to remain listed on the Nasdaq market—commonly a $1.00 per-share threshold. Investors care because falling below that floor can trigger a compliance review and possible delisting, which is like failing a minimum grade and losing access to the public market; delisting can reduce liquidity, visibility and the ability to raise capital.
minimum bid price requirement financial
"no longer meets the minimum bid price requirement of $1.00 per share"
A minimum bid price requirement is a rule that a stock must trade above a set price for a specified period to stay listed on an exchange. It matters to investors because falling below that threshold can trigger warnings or removal from the exchange, which can cut liquidity, reduce visibility, and often lead to sharper declines in share value—think of it like a venue’s minimum dress code that, if not met, can bar a performer from the stage.
Nasdaq Listing Rule 5810(c)(3)(A) regulatory
"Pursuant to Nasdaq Listing Rule 5810(c)(3)(A), the Company has been granted a 180-calendar day compliance period"
reverse share split financial
"including, but not limited to, implementing a reverse share split of its outstanding common shares"
A reverse share split is when a company reduces the number of its shares outstanding by combining multiple shares into one, effectively increasing the price of each share. For investors, this can help improve the company's image or meet stock exchange listing requirements, but it does not change the total value of their investment. It’s similar to turning many small pieces of a puzzle into fewer larger pieces—nothing new is added or lost, just rearranged.
forward-looking statements regulatory
"Certain of the statements made in this press release are “forward-looking statements”"
Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.
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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 6-K

 

REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934

 

For the month of May 2026

 

Commission File Number: 001-38505

 

CLPS Incorporation

 

c/o Unit 1000, 10th Floor, Millennium City III

370 Kwun Tong Road, Kwun Tong, Kowloon

Hong Kong SAR

Tel: (852) 37073600 

(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES)

 

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

 

Form 20-F       Form 40-F

 

 

 

 

INFORMATION CONTAINED IN THIS REPORT ON FORM 6-K

 

On May 27, 2026, CLPS Incorporation (the “Company”) received a letter from the Listing Qualifications staff of The Nasdaq Stock Market (“Nasdaq”) notifying the Company that based on the closing bid price of the Company for the period from April 14, 2026 to May 26, 2026, the Company no longer meets the continued listing requirement of Nasdaq under Nasdaq Listing Rules 5450(a)(1), to maintain a minimum bid price of $1 per share. The Nasdaq notification letter does not result in the immediate delisting of the Company’s common shares, and the shares will continue to trade uninterrupted under the symbol “CLPS.”

 

Pursuant to Nasdaq Listing Rule 5810(c)(3)(A), the Company has a compliance period of one hundred eighty (180) calendar days, or until November 23, 2026 (the “Compliance Period”), to regain compliance with Nasdaq’s minimum bid price requirement. If at any time during the Compliance Period, the closing bid price per share of the Company’s common shares is at least $1.00 for a minimum of ten (10) consecutive business days, Nasdaq will provide the Company a written confirmation of compliance and the matter will be closed.

 

In the event the Company does not regain compliance by November 23, 2026, the Company may be eligible for an additional one hundred eighty (180) calendar day grace period. To qualify, the Company must submit, no later than the expiration date, an on-line transfer application and submit a non-refundable $5,000 application fee to Nasdaq. The Company will be required to meet the continued listing requirement for market value of publicly held shares and all other initial listing standards for the Nasdaq Global Market, with the exception of the bid price requirement, and will need to provide written notice of its intention to cure the deficiency during the second compliance period, including by effecting a reverse stock split, if necessary.

 

On May 29, 2025, the Company issued a press release discussing the receipt of the deficiency letter, which is filed as exhibit 99.1 to this Form 6-K.

 

1

 

EXHIBIT INDEX

 

The following exhibits are being filed herewith:

 

Exhibit No.   Description
99.1   Press Release – CLPS Incorporation Announces Receipt of Nasdaq Notification Regarding Minimum Bid Price Deficiency

 

2

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

  CLPS Incorporation
   
  By: /s/ Raymond Ming Hui Lin
  Name: Raymond Ming Hui Lin
  Title: Chief Executive Officer

 

Date: May 29, 2026

 

3

Exhibit 99.1

 

CLPS Incorporation Receives Nasdaq Notification Regarding Minimum Bid Price Requirements

 

HONG KONG, May 29, 2026 / PRNewswire / — CLPS Incorporation (the “Company” or “CLPS”) (Nasdaq: CLPS) today announced that it received a notification letter (the “Notification Letter”) from Listing Qualifications Department of The Nasdaq Stock Market LLC (“Nasdaq”) dated May 27, 2026, indicating that the Company’s closing bid price for its common shares fell below $1.00 per share for 30 consecutive trading days, which is not in compliance with Nasdaq Listing Rule 5450(a)(1) for continued listing on The Nasdaq Global Market. The Nasdaq notification does not affect CLPS’s current listing or trading of the Company’s securities on the Nasdaq Global Market. This press release is issued pursuant to Nasdaq Listing Rule 5810(b), which requires prompt disclosure upon the receipt of a deficiency notification.

 

Nasdaq Listing Rule 5450(a)(1) requires listed securities to maintain a minimum bid price of US$1.00 per share, and Nasdaq Listing Rule 5810(c)(3)(A) provides that a failure to meet the minimum bid price requirement exists if the deficiency continues for a period of 30 consecutive business days. Based on the closing bid price of the Company’s common shares for the 30 consecutive business days from April 14, 2026 to May 26, 2026, the Company no longer meets the minimum bid price requirement.

 

Pursuant to the Nasdaq Listing Rule 5810(c)(3)(A), the Company has been granted a 180-calendar day compliance period, until November 23, 2026, to regain compliance with the minimum bid price requirement. To regain compliance, CLPS’s common shares must have a closing bid price of at least $1.00 per share for a minimum of 10 consecutive business days. If the Company achieves this within the compliance period, Nasdaq will provide written confirmation of compliance and the matter will be closed.

 

In the event that the Company does not regain compliance by November 23, 2026, it may be eligible for an additional 180-day compliance period by transferring to the Nasdaq Capital Market from the Nasdaq Global Market, provided it meets the necessary listing requirements, and notifying Nasdaq of its intent to cure the deficiency by effecting a reverse stock split if necessary, or may be subject to delisting.

 

The Notification Letter will have no effect on the Company’s business operations, and CLPS intends to monitor the closing bid price of its common shares and is committed to taking all reasonable measures, including, but not limited to, implementing a reverse share split of its outstanding common shares, to regain compliance with Nasdaq’s minimum bid price requirement.

 

About CLPS Incorporation

 

CLPS Incorporation (NASDAQ: CLPS), established in 2005 and headquartered in Hong Kong, is at the forefront of driving digital transformation and optimizing operational efficiency across industries through innovations in artificial intelligence, cloud computing, and big data. Our diverse business lines span sectors including fintech, payment and credit services, e-commerce, education and study abroad programs, and global tourism integrated with transportation services. Operating across 10 countries worldwide, with strategic regional hubs in Shanghai (mainland China), Singapore (Southeast Asia), and California (North America), and supported by subsidiaries in Japan and the UAE, we provide a robust global service network that empowers legacy industries evolve into data-driven, intelligent ecosystems. For further information regarding the Company, please visit: https://ir.clpsglobal.com/, or follow CLPS on Facebook, InstagramLinkedIn, X, and YouTube.

 

Forward-Looking Statements

 

Certain of the statements made in this press release are “forward-looking statements” within the meaning and protections of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include statements with respect to the Company’s beliefs, plans, objectives, goals, expectations, anticipations, assumptions, estimates, intentions, and future performance. Known and unknown risks, uncertainties and other factors, which may be beyond the Company’s control, may cause the actual results and performance of the Company to be materially different from such forward-looking statements. All such statements attributable to us are expressly qualified in their entirety by this cautionary notice, including, without limitation, those risks and uncertainties related to the Company’s expectations of the Company’s future growth, deployment in the AI technology sector, performance and results of operations, the Company’s ability to capitalize on various commercial, M&A, technology and other related opportunities and initiatives, as well as the risks and uncertainties described in the Company’s most recently filed SEC reports and filings. Such reports are available upon request from the Company, or from the Securities and Exchange Commission, including through the SEC’s Internet website at http://www.sec.gov. We have no obligation and do not undertake to update, revise or correct any of the forward-looking statements after the date hereof, or after the respective dates on which any such statements otherwise are made.

 

Contact:

 

CLPS Incorporation

Rhon Galicha

Investor Relations Office 

Phone: +86-182-2192-5378

Email: ir@clpsglobal.com

 

FAQ

What did CLPS (CLPS) announce regarding its Nasdaq listing?

CLPS announced it received a Nasdaq notice that its common shares no longer meet the minimum bid price requirement of $1.00 per share after 30 consecutive days below that level. The shares remain listed on the Nasdaq Global Market for now.

How long does CLPS (CLPS) have to regain Nasdaq bid price compliance?

CLPS has a 180‑day compliance period, until November 23, 2026, to regain compliance. Its closing bid must reach at least $1.00 per share for 10 consecutive business days within this window for Nasdaq to confirm compliance.

Could CLPS (CLPS) receive more time if it stays below $1.00?

If CLPS does not regain compliance by November 23, 2026, it may qualify for an additional 180‑day period by applying to transfer to the Nasdaq Capital Market, paying a $5,000 fee, and meeting other listing standards except for bid price.

Does the Nasdaq notification affect CLPS (CLPS) business operations?

The company states that the notification has no effect on its business operations. The issue is limited to its share price relative to Nasdaq’s listing rules, while day‑to‑day operations and services continue as before.

What steps might CLPS (CLPS) take to regain Nasdaq compliance?

CLPS intends to monitor its share price and consider reasonable measures to restore compliance. The company specifically mentions that it may implement a reverse share split of its outstanding common shares if needed to meet the minimum bid requirement.

Is CLPS (CLPS) currently being delisted from Nasdaq?

CLPS is not being immediately delisted. Its common shares continue trading on the Nasdaq Global Market under the symbol "CLPS" while the company works within the 180‑day compliance period to regain the required $1.00 bid price.

Filing Exhibits & Attachments

1 document