TEN Holdings details Nasdaq listing compliance steps
TEN Holdings, Inc. outlines its response to a Nasdaq notice that it was not in compliance with Nasdaq Listing Rule 5550(b)(1), which requires at least $2,500,000 in stockholders’ equity.
Rhea-AI Filing Summary
TEN Holdings, Inc. outlines its response to a Nasdaq notice that it was not in compliance with Nasdaq Listing Rule 5550(b)(1), which requires at least $2,500,000 in stockholders’ equity. The company had until July 10, 2026 to submit a compliance plan and did so on July 1, 2026.
The company closed a registered direct offering of 7,500,000 shares of common stock on June 30, 2026, generating approximately $6.6 million in net proceeds. As a result, it believes it has regained compliance with the equity standard. Nasdaq will continue to monitor compliance and may pursue delisting if a future periodic report does not show compliance.
Positive
- Approximately $6.6 million in net proceeds from a registered direct offering of 7,500,000 shares, which the company believes restored compliance with Nasdaq’s stockholders’ equity standard.
Negative
- Nasdaq listing deficiency under Listing Rule 5550(b)(1) was previously identified, and the company remains subject to ongoing Nasdaq monitoring with potential delisting if a later report does not show compliance.
8-K Event Classification
2 items: 3.01, 9.01
2 items
Item 3.01
Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing
Securities
The company received a delisting notice, failed to satisfy a continued-listing rule or standard, or transferred its listing.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Key Figures
Nasdaq minimum stockholders’ equity: $2,500,000
Registered direct offering size: 7,500,000 shares
Net proceeds from offering: approximately $6.6 million
+3 more
6 metrics
Nasdaq minimum stockholders’ equity
$2,500,000
Required under Nasdaq Listing Rule 5550(b)(1) equity standard
Registered direct offering size
7,500,000 shares
Common stock sold by the company in June 2026
Net proceeds from offering
approximately $6.6 million
Net cash received by the company from the June 30, 2026 transaction
Compliance plan deadline
July 10, 2026
Date by which the company was to submit a plan to Nasdaq
Plan submission date
July 1, 2026
Date the company submitted its plan to Nasdaq staff
Offering closing date
June 30, 2026
Date the registered direct offering was closed
Key Terms
Nasdaq Listing Rule 5550(b)(1), stockholders’ equity, registered direct offering, market value of listed securities, +1 more
5 terms
Nasdaq Listing Rule 5550(b)(1) regulatory
"not in compliance with Nasdaq Listing Rule 5550(b)(1) (the “Equity Standard”)"
stockholders’ equity financial
"requires the Company to maintain a minimum of $2,500,000 in stockholders’ equity"
Stockholders’ equity is the portion of a company’s value that belongs to its owners after subtracting what the company owes from what it owns — like the equity in a house after paying the mortgage. For investors it shows the company’s net worth and can indicate financial strength, a cushion against losses, and the amount potentially available to support dividends or reinvestment; tracking changes helps assess whether the business is building or eroding owner value.
registered direct offering financial
"it had closed a registered direct offering by the Company of 7,500,000 shares"
A registered direct offering is a way for a company to sell new shares of its stock directly to select investors with regulatory approval. This method allows the company to raise funds quickly and efficiently without needing a public auction, similar to offering exclusive access to a limited number of buyers. For investors, it often provides an opportunity to purchase shares at a favorable price, while giving the company immediate access to capital.
market value of listed securities financial
"the alternatives of market value of listed securities or net income"
Market value of listed securities is the market value of the shares a company has listed on an exchange, calculated as the closing bid price multiplied by the number of listed shares. Exchanges use it as a continued-listing standard, so a company that stays under the required minimum receives a deficiency notice and is given a set period to recover before facing delisting.
net income from continuing operations financial
"or net income from continuing operations"
Net income from continuing operations is the profit a company earns from its ongoing, day-to-day business after paying costs, interest and taxes, excluding results from businesses it has sold or closed and one-time gains or losses. Investors care because it shows the company's recurring earning power—like comparing a regular paycheck to a one-off bonus—and gives a clearer picture of sustainable profits used to value the business and judge management performance.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What Nasdaq compliance issue did TEN Holdings (XHLD) face?
TEN Holdings received a Nasdaq notice for not meeting Listing Rule 5550(b)(1), which requires $2,500,000 in stockholders’ equity. This deficiency triggered a requirement to submit a plan to regain compliance or meet alternative criteria.
How did TEN Holdings (XHLD) attempt to regain Nasdaq equity compliance?
TEN Holdings closed a registered direct offering of 7,500,000 shares of common stock on June 30, 2026, producing approximately $6.6 million in net proceeds. Based on this, the company believes it has regained compliance with Nasdaq’s equity standard.
What deadlines did TEN Holdings (XHLD) have for its Nasdaq compliance plan?
Nasdaq gave TEN Holdings until July 10, 2026 to submit a plan to regain compliance. The company states that it submitted this plan to Nasdaq staff on July 1, 2026, ahead of the deadline.
Is TEN Holdings (XHLD) still at risk of Nasdaq delisting?
Yes. Nasdaq will continue monitoring TEN Holdings’ compliance with the equity standard and notes the company may be subject to delisting if, at the time of its next periodic report, it does not demonstrate compliance.
What alternatives to the equity standard can help TEN Holdings (XHLD) stay listed?
Nasdaq’s notice referenced compliance either with the $2,500,000 stockholders’ equity requirement or with alternatives based on market value of listed securities or net income from continuing operations, as applicable.
AI-generated analysis. How Rhea-AI works. Not financial advice.
