FangDD Receives Nasdaq Notice Regarding Minimum Bid Requirements

Rhea-AI Summary

Fangdd Network Group Ltd. (Nasdaq: DUO) has received a notice from Nasdaq regarding non-compliance with its minimum bid price requirement due to its American depositary shares (ADSs) closing below $1 for 30 consecutive business days. The company has a grace period of 180 days, until July 5, 2022, to regain compliance by maintaining a bid price of at least $1 for ten consecutive business days. Despite the notice, Fangdd's ADSs will continue to trade on Nasdaq Capital Market during this period.

Positive

• The company has a 180-day grace period to regain compliance with Nasdaq's minimum bid price rule.
• Fangdd's ADSs will continue to trade on Nasdaq during the grace period.

Negative

• Fangdd's ADSs have closed below the $1 minimum bid price requirement for 30 consecutive business days.
• Failure to comply within the 180-day period could result in additional consequences.

SHENZHEN, China, Jan. 07, 2022 (GLOBE NEWSWIRE) -- Fangdd Network Group Ltd. (“FangDD” or the “Company”) (Nasdaq: DUO) today announced that the Company had received a notice from the Nasdaq Stock Market LLC (“Nasdaq”), dated January 4, 2022, notifying that, the Company is currently not in compliance with the minimum bid price requirement set forth under Nasdaq Listing Rule 5450(a)(1) (the “Rule”). It has resulted from the fact that the bid price of the Company’s American depositary shares (“ADSs”) closed below US$1 per share for the last 30 consecutive business days from November 19, 2021 to January 3, 2022. The Company has been granted a grace period of 180 calendar days, expiring on July 5, 2022, in which to regain compliance. The Company will regain compliance if, at any time during this 180-day period, the closing bid price of the Company’s ADSs is at least US$1 for a minimum of ten consecutive business days. In the event the Company does not regain compliance with the Rule within 180 calendar days, the Company may be eligible for additional time.

The Company intends to monitor the closing bid price of its ADSs between now and July 5, 2022 and intends to consider available options to cure the deficiency and regain compliance with the Rule’s minimum bid price requirement within the prescribed grace period. The Company’s ADSs will continue to be listed and trade on the Nasdaq Capital Market during this period, unaffected by the receipt of the written notice from Nasdaq.

This announcement is made in compliance with Nasdaq Listing Rule 5810(b), which requires prompt disclosure of receipt of a deficiency notification.

Safe Harbor Statement

This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “aim,” “anticipate,” “believe,” “estimate,” “expect,” “hope,” “going forward,” “intend,” “ought to,” “plan,” “project,” “potential,” “seek,” “may,” “might,” “can,” “could,” “will,” “would,” “shall,” “should,” “is likely to” and the negative form of these words and other similar expressions. Among other things, statements that are not historical facts, including statements about the Company’s beliefs and expectations are or contain forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement. All information provided in this press release is as of the date of this press release and is based on assumptions that the Company believes to be reasonable as of this date, and the Company does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

Contact:

FangDD
Ms. Linda Li
Director, Capital Markets Department
Phone: +86-0755-2699-8968
E-mail:ir@fangdd.com

FAQ

What is the current status of Fangdd Network Group Ltd.'s compliance with Nasdaq regulations?

Fangdd Network Group Ltd. is currently not in compliance with Nasdaq's minimum bid price requirement, as its ADSs have been below $1 for 30 consecutive business days.

What steps is Fangdd Network Group Ltd. taking to regain compliance with Nasdaq rules?

Fangdd plans to monitor its ADS bid price and consider available options to regain compliance within the 180-day grace period.

What is the deadline for Fangdd Network Group Ltd. to comply with Nasdaq's rules?

Fangdd has a grace period until July 5, 2022, to meet the minimum bid price requirement.

Will Fangdd Network Group Ltd. remain listed on Nasdaq during its compliance period?

Yes, Fangdd's ADSs will continue to be listed and traded on the Nasdaq Capital Market during this compliance period.

What could happen if Fangdd Network Group Ltd. does not regain compliance with Nasdaq?

If Fangdd does not regain compliance within the 180-day grace period, it may be eligible for additional time, but further consequences could occur.