Akso Health Group Receives Nasdaq Notification Regarding Minimum Bid Price Deficiency

Rhea-AI Summary

Akso Health Group (NASDAQ: AHG) announced that it received a notification from Nasdaq regarding non-compliance with the minimum bid price requirement of US$1.00 per share, effective from October 26, 2022. The company's shares had fallen below this threshold for 30 consecutive business days. Akso Health has until April 24, 2023, to regain compliance. The company is exploring options like a reverse share split but asserts that its business operations remain unaffected. Furthermore, Nasdaq accepted the company’s plan for compliance regarding the delinquent filing of its Annual Report on Form 20-F.

Positive

• Company's business operations are not impacted by the notification.
• Nasdaq accepted the company's compliance plan for filing the Annual Report, granting an extension until January 3, 2023.

Negative

• Received notification of non-compliance with Nasdaq's minimum bid price requirement of US$1.00 per share.
• Failure to regain compliance by April 24, 2023, could lead to delisting.

BEIJING, Oct. 28, 2022 /PRNewswire/ -- Akso Health Group (NASDAQ: AHG) ("Akso Health" the "Company" or "we"), today announced that the Company has received a written notification (the "Notification Letter") from the Nasdaq Stock Market LLC ("Nasdaq") on October 26, 2022, notifying the Company that it is not in compliance with the minimum bid price requirement set forth in Nasdaq Rules for continued listing on the Nasdaq.

Nasdaq Listing Rule 5550(a)(2) requires listed securities to maintain a minimum bid price of US$1.00 per share, and 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 ADSs for the 30 consecutive business days from September 12, 2022 to October 25, 2022, the Company no longer meets the minimum bid price requirement.

The Notification Letter does not impact the Company's listing on the Nasdaq Capital Market at this time. In accordance with Nasdaq Listing Rule 5810(c)(3)(A), the Company has been provided 180 calendar days, or until April 24, 2023, to regain compliance with Nasdaq Listing Rule 5550(a)(2). To regain compliance, the Company's ADSs must have a closing bid price of at least US$1.00 for a minimum of 10 consecutive business days. In the event the Company does not regain compliance by April 24, 2023, the Company may be eligible for additional time to regain compliance or may face delisting.

The Company's business operations are not affected by the receipt of the Notification Letter. The Company intends to monitor the closing bid price of its ADSs and may, if appropriate, consider implementing available options, including, but not limited to, implementing a consolidation reverse share split of its outstanding ADSs, to regain compliance with the minimum bid price requirement under the Nasdaq Listing Rules.

As previously disclosed, Nasdaq had notified the Company that it was delinquent in the filing of its Annual Report on Form 20-F for the fiscal year ended March 31, 2022 (the "20-F"). On October 27, 2022, Nasdaq notified the Company that it has accepted the Company's plan of compliance and granted the Company an extension through January 3, 2023 to file the 20-F.

About Akso Health Group

Akso Health Group (NASDAQ: AHG), formerly known as Xiaobai Maimai Inc., operates a social e-commerce platform in China that collaborates with other domestic e-commerce platforms and offers users a wide selection of high-quality and affordable products. Since the end of 2021, the Company also started exploring the healthcare equipment and product trading and related healthcare services business. 

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "potential," "continue," "ongoing," "targets," "guidance" and similar statements. The Company may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (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. Any statements that are not historical facts, including statements about the Company's beliefs and expectations, are forward-looking statements that involve factors, risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such factors and risks include, but not limited to the following: risks related to our ability to obtain equipment, technology, license and talents at satisfactory terms to start the planned business, if at all; risks regarding the effect of the COVID-19 pandemic on the Company and the Company's position in a post-COVID-19 environment; risks related to the Company's ability to adapt and make the necessary adjustments to compete and operate effectively; risks related to decisions or changes in governmental or private insurers' reimbursement levels for our radiotherapy services or our ability to obtain reimbursement for our radiotherapy services; risks related to increased competition and the development of new competing services; the risk that we may be unable to develop or achieve commercial success for radiotherapy services in a timely manner, or at all; risks related to regulatory requirements or enforcement in the United States and changes in the structure of the healthcare system or healthcare payment systems; risks related to our ability to successfully integrate and derive benefits from any technologies that we license or acquire; risks related to our projections about our business, results of operations and financial condition; and risks related to the potential market opportunity for our products and services. Further information regarding these and other risks, uncertainties or factors is included in the Company's filings with the SEC. All information provided in this announcement is current as of the date of this announcement, and the Company does not undertake any obligation to update such information, except as required under applicable law.

For more information, please visit ir.xiaobaimaimai.com 

For investor inquiries, please contact:

The Company
Investor Relations
Mr. Simon He
Email: ir@ahgtop.com

Christensen

In China
Mr. Eric Yuan
Phone: +86-10-5900-1548
E-mail: Eyuan@christensenir.com

In US
Ms. Linda Bergkamp
Phone: +1-480-614-3004
Email: lbergkamp@christensenir.com

 

View original content:https://www.prnewswire.com/news-releases/akso-health-group-receives-nasdaq-notification-regarding-minimum-bid-price-deficiency-301662635.html

SOURCE Akso Health Group

FAQ

What did Akso Health Group announce on October 28, 2022?

Akso Health Group announced receiving a notification from Nasdaq about non-compliance with the minimum bid price requirement.

What is the minimum bid price requirement for Akso Health Group?

The minimum bid price requirement for Akso Health Group is US$1.00 per share.

When does Akso Health Group have to regain compliance with Nasdaq?

Akso Health Group has until April 24, 2023, to regain compliance with Nasdaq's minimum bid price requirement.

How did Akso Health Group plan to regain compliance with Nasdaq?

Akso Health Group may consider options such as a reverse share split to regain compliance.

What happens if Akso Health Group fails to regain compliance by April 2023?

If Akso Health Group does not regain compliance by April 24, 2023, it may face delisting from Nasdaq.