ATA Creativity Global Receives Nasdaq Notification Regarding Minimum Bid Price Deficiency
ATA Creativity Global (Nasdaq: AACG) received a notice from Nasdaq on May 29, 2024, indicating that its American depositary shares (ADSs) have fallen below the minimum bid price of $1.00 for 30 consecutive business days. As a result, the company has 180 days, until November 25, 2024, to regain compliance by achieving a closing bid price of at least $1.00 for 10 consecutive business days. If compliance is not regained by this date, the company may be eligible for additional time if it meets other Nasdaq listing requirements. AACG's business operations remain unaffected, and the company is monitoring its stock price closely to resolve the issue.
- Company has 180 days to regain compliance, providing ample time to address the issue.
- Business operations remain unaffected by the Nasdaq notification.
- Potential for additional compliance period if initial requirements are met.
- Falling below the minimum bid price of $1.00 for 30 consecutive days signals potential stock instability.
- Risk of delisting from Nasdaq if compliance is not regained by November 25, 2024.
- Potential shareholder concern and market perception issues due to non-compliance notice.
BEIJING, June 07, 2024 (GLOBE NEWSWIRE) -- ATA Creativity Global (“ACG” or the “Company”, Nasdaq: AACG), an international educational services company focused on providing quality learning experiences that cultivate and enhance students’ creativity, today announced that the Company received a written letter from the Nasdaq Stock Market LLC (“Nasdaq”) dated May 29, 2024, notifying the Company that it no longer meets the minimum bid price requirement set forth in Nasdaq Listing Rules for continued listing on the Nasdaq as the closing bid price for the Company’s American depositary shares (“ADSs”) listed on the Nasdaq was below US
Nasdaq Listing Rule 5450(a)(1) requires listed securities to maintain a minimum bid price of US
The Nasdaq Letter has no immediate impact on the Company’s listing on the Nasdaq Global Market. The Company’s ADSs will continue to trade on the Nasdaq under the symbol “AACG”.
In accordance with Nasdaq Listing Rule 5810(c)(3)(A), the Company has been provided 180 calendar days, or until November 25, 2024, to regain compliance with Nasdaq Listing Rule 5450(a)(1). If at any time before November 25, 2024, the bid price of the Company’s ADSs closes at or above US
In the event the Company does not regain compliance by November 25, 2024, the Company may be eligible for additional time to regain compliance if it meets the continued listing requirement for market value of publicly held shares and all other initial listing standards for the Nasdaq Capital Market, with the exception of the minimum bid price requirement. To qualify, the Company will need to provide Nasdaq with written notice of its intention to cure the deficiency during the second compliance period.
The Company’s business operations are not affected by the Nasdaq Letter. The Company intends to closely monitor the closing bid price of its ADSs between now and November 25, 2024, and seeks to cure the deficiency within the prescribed compliance period.
About ATA Creativity Global
ATA Creativity Global is an international educational services company focused on providing quality learning experiences that cultivate and enhance students’ creativity. ATA Creativity Global offers a wide range of education services consisting primarily of portfolio training, research-based learning services, overseas study counselling and other educational services through its training center network. For more information, please visit ACG’s website at www.atai.net.cn.
Cautionary Note Regarding Forward-looking Statements
This press release contains statements that may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terms such as “will,” “should,” “could,” “expect,” “anticipate,” “aim,” “future,” “intend,” “plan,” “believe,” “estimate,” “forecast,” “outlook,” “likely to” and similar statements. ACG may also make written or oral forward-looking statements in its periodic reports to the SEC, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about ACG’s beliefs, plans and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, further information regarding which is included in the Company’s filings with the SEC. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. All information provided in this press release is as of the date of this press release, and ACG undertakes no duty to update such information to reflect events or circumstances that arise after the date hereof, except as required under applicable law.
For more information on our company, please contact the following individuals:
| At the Company | Investor Relations |
| ATA Creativity Global | The Equity Group Inc. |
| Ruobai Sima, CFO | Carolyne Y. Sohn, Vice President |
| +86 10 6518 1133 x 5518 | 408-538-4577 |
| simaruobai@acgedu.cn | csohn@equityny.com |
| Alice Zhang, Associate | |
| 212-836-9610 | |
| azhang@equityny.com |
FAQ
What caused ATA Creativity Global (AACG) to receive a Nasdaq notification?
When did ATA Creativity Global (AACG) receive the Nasdaq notification?
What is the minimum bid price requirement for AACG on Nasdaq?
What is the deadline for AACG to regain compliance with Nasdaq's minimum bid price requirement?
Will ATA Creativity Global (AACG) be immediately delisted from Nasdaq due to the notification?
What happens if AACG does not regain compliance by the November 25, 2024 deadline?
Will AACG's business operations be affected by the Nasdaq notification?
