COMSovereign Announces Receipt of Nasdaq Listing Determination; Company to Request Hearing and Further Stay

Rhea-AI Summary

COMSovereign Holding Corp. (NASDAQ: COMS, COMSP) announced on October 5, 2022, that it received a notice from Nasdaq regarding potential delisting due to a closing bid price below $0.10 for 10 consecutive trading days and non-compliance with filing requirements. The company plans to request a hearing before the Nasdaq Hearings Panel to contest this decision and seek a stay of further actions. This follows the company's efforts to improve its compliance and maintain its listing status on the exchange.

Positive

• Company intends to request a hearing to potentially reverse Nasdaq's delisting decision.
• Focus on compliance and efforts to maintain its Nasdaq listing status.

Negative

• Received a notice of delisting due to share price falling below $0.10.
• Non-compliance with Nasdaq filing requirements could lead to further issues.

DALLAS, Oct. 12, 2022 /PRNewswire/ -- COMSovereign Holding Corp. (NASDAQ: COMS and COMSP) ("COMSovereign" or the "Company"), a U.S.-based developer of 4G LTE Advanced and 5G communication systems and solutions, today announced that on October 5, 2022, the Company received notice from the Nasdaq Listing Qualifications Staff (the "Staff") indicating that it had determined to delist the Company's securities from Nasdaq unless the Company timely requests a hearing before the Nasdaq Hearings Panel (the "Panel"). The Staff's determination was based upon the Company evidencing a closing bid price of less than $0.10 per share for the preceding ten consecutive trading days, in contravention of Nasdaq Listing Rule 5810(3)(A)(iii), and the Company's continued non-compliance with the filing requirement set forth in Nasdaq Listing Rule 5250(c)(1).

The Company intends to timely request a hearing before the Panel and a stay of any further action by Nasdaq pending the issuance of a decision by the Panel and the expiration of any extension the Panel may grant to the Company following the hearing.

For more information about COMSovereign, please visit www.COMSovereign.com and connect with us on Facebook and Twitter.

About COMSovereign Holding Corp.

COMSovereign Holding Corp. (Nasdaq: COMS) has assembled a portfolio of communications technology companies that enhance connectivity across the entire data transmission spectrum. Through strategic acquisitions and organic research and development efforts, COMSovereign has become a U.S.-based communications provider able to provide 4G LTE Advanced and 5G telecom solutions to network operators and enterprises. For more information about COMSovereign, please visit www.COMSovereign.com.

Forward-Looking Statements

Certain statements in this press release that are not historical facts are forward-looking statements that reflect management's current expectations, assumptions, and estimates of future performance and economic conditions, and involve risks and uncertainties that could cause actual results to differ materially from those anticipated by the statements made herein. Forward-looking statements are generally identifiable by the use of forward-looking terminology such as "believe," "expects," "may," "looks to," "will," "should," "plan," "intend," "on condition," "target," "see," "potential," "estimates," "preliminary," or "anticipates" or the negative thereof or comparable terminology, or by discussion of strategy or goals or other future events, circumstances, or effects. Further information relating to factors that may impact the Company's results and forward-looking statements are disclosed in the Company's filings with the SEC. The forward-looking statements contained in this press release are made as of the date of this press release, and the Company disclaims any intention or obligation, other than imposed by law, to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

Contacts:

Steve Gersten, Director of Investor Relations
COMSovereign Holding Corp.
813-334-9745
investors@comsovereign.com

and

Media Relations for COMSovereign Holding Corp.:
Michael Glickman
MWGCO, Inc.
917-397-2272
mike@mwgco.net

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SOURCE COMSovereign Holding Corp.

FAQ

What did COMSovereign announce on October 5, 2022?

COMSovereign announced it received a notice from Nasdaq regarding potential delisting due to non-compliance with listing rules.

What are the reasons for COMSovereign's potential delisting?

The potential delisting is due to a closing bid price below $0.10 and continued non-compliance with filing requirements.

What is COMSovereign's plan after receiving the delisting notice?

The company plans to request a hearing before the Nasdaq Hearings Panel to contest the delisting and seek a stay on further actions.

How does the delisting affect COMSovereign's stock, COMS and COMSP?

Delisting could significantly impact the stock's value and trading volume, negatively affecting investor confidence.