Sunrise Regains Compliance with Nasdaq Minimum Closing Bid Price Rule

Rhea-AI Summary

Sunrise New Energy Co., (NASDAQ: EPOW) has successfully regained compliance with Nasdaq's minimum bid price requirement. The company received formal notification from Nasdaq on September 9, 2024, confirming that it has met the listing rule 5550(a)(2). This achievement comes after EPOW's closing bid price remained at $1.00 or higher for 10 consecutive business days from August 22 to September 6, 2024. As a result, the bid price deficiency matter has been resolved, and Sunrise will continue to be listed on the Nasdaq Capital Market.

Positive

• Regained compliance with Nasdaq's minimum bid price requirement
• Maintained closing bid price of $1.00 or higher for 10 consecutive business days
• Resolved bid price deficiency matter
• Continued listing on Nasdaq Capital Market secured

Negative

• None.

Insights

Financial Analyst

Sunrise New Energy's compliance with Nasdaq's minimum bid price rule is a positive development for the company, albeit with immediate financial impact. This news primarily affects the company's listing status rather than its fundamental business operations.

Maintaining Nasdaq listing is important for investor confidence and market liquidity. It ensures easier access to capital markets and potentially broader investor interest. However, investors should note that compliance was achieved without a reverse stock split, which is often seen as a more favorable outcome.

While this news removes an immediate threat to the company's listing, it's essential to focus on Sunrise's underlying business performance and growth prospects in the energy sector for a comprehensive investment assessment. The stock's ability to maintain compliance will depend on sustained investor confidence and improved financial results.

Market Research Analyst

This development signals a potential shift in market perception of Sunrise New Energy. The sustained bid price above $1.00 for 10 consecutive days suggests improved investor sentiment or increased market interest in the company's prospects.

However, it's important to consider the broader context. The energy sector, particularly new energy companies, has faced volatility. Investors should investigate whether this price increase is driven by fundamental improvements in Sunrise's business model or broader market trends affecting the sector.

Moving forward, maintaining this compliance will be key. Investors should monitor the company's upcoming financial reports and strategic initiatives to gauge whether this positive momentum can be sustained, potentially leading to long-term value creation.

ZIBO, China, Sept. 10, 2024 (GLOBE NEWSWIRE) -- Sunrise New Energy Co., Ltd. (“Sunrise”, the “Company”, “we” or “our”) (NASDAQ: EPOW), today announced that the Company has received a formal notification from the Nasdaq Capital Market, LLC (“Nasdaq”), dated September 9, 2024, notifying the Company that it has regained compliance with the minimum bid price requirement as set forth under NASDAQ Listing Rule 5550(a)(2) for continued listing on Nasdaq.

The Nasdaq staff made this determination of compliance after the closing bid price of the Company’s common stock has been at $1.00 per share or greater for the last 10 consecutive business days from August 22, 2024 to September 6, 2024. Accordingly, the Company has regained compliance with Nasdaq Listing Rule 5550(a)(2) and the bid price deficiency matter is now closed. 

About Sunrise New Energy Co., Ltd 

Headquartered in Zibo, Shandong Province, China, Sunrise New Energy Co., Ltd., through its joint venture, is engaged in the manufacturing and sale of graphite anode material for lithium-ion batteries. The Company's joint venture has completed the construction of a manufacturing facility with a production capacity of 50,000 tons in Guizhou Province, China. The plant runs on inexpensive electricity from renewable sources, which helps to make Sunrise New Energy a low-cost and low–environmental-impact producer of graphite anode material. Mr. Haiping Hu, the founder and CEO of the Company, is a major pioneer for the graphite anode industry in China starting from 1999. The Company’s management team is also composed of experts with years of experiences and strong track-records of success in the graphite anode industry. In addition, the Company also operates a knowledge sharing platform in China. For further information, please visit the Company’s website at www.sunrisenewenergy.com. 

Forward-looking statement 

Certain statements in this press release regarding the Company's future expectations, plans and prospects constitute forward-looking statements as defined by Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements about plans, goals, objectives, strategies, future events, expected results, assumptions and any other factual statements that have not occurred. Any words that refer to "may", "will", "want", "should", "believe", "expect", "expect", "estimate", "estimate" or similar non-factual words, shall be regarded as forward-looking statements. Due to various factors, the actual results may differ materially from the historical results or the contents expressed in these forward-looking statements. These factors include, but are not limited to, the company's strategic objectives, the company's future plans, market demand and user acceptance of the company's products or services, technological updates, economic trends, the company's reputation and brand, the impact of industry competition and bidding, relevant policies and regulations, the ups and downs of China's macroeconomic conditions, the relevant international market conditions, and other related risks and assumptions disclosed in the Company’s Annual Report on Form 20-F published on the SEC’s website. In view of the above and other related reasons, we urge investors to visit the SEC’s website and consider other factors that may affect the Company's future operating results. The Company is under no obligation to make public amendments to changes in these forward-looking statements unless required by law.

For more information, please contact: 

The Company:

IR Department

Email: IR@sunrisenewenergy.com

Phone: +86 4009919228

FAQ

What was the minimum bid price requirement Sunrise New Energy (EPOW) had to meet for Nasdaq compliance?

Sunrise New Energy (EPOW) had to maintain a closing bid price of $1.00 or higher for at least 10 consecutive business days to meet Nasdaq's minimum bid price requirement under Listing Rule 5550(a)(2).

When did Sunrise New Energy (EPOW) regain compliance with Nasdaq's minimum bid price rule?

Sunrise New Energy (EPOW) regained compliance with Nasdaq's minimum bid price rule on September 9, 2024, after maintaining the required bid price from August 22 to September 6, 2024.

What is the significance of Sunrise New Energy (EPOW) regaining Nasdaq compliance?

Regaining Nasdaq compliance means Sunrise New Energy (EPOW) has resolved its bid price deficiency matter and will continue to be listed on the Nasdaq Capital Market, maintaining its visibility and access to investors.

How long did Sunrise New Energy (EPOW) maintain the required bid price to regain Nasdaq compliance?

Sunrise New Energy (EPOW) maintained a closing bid price of $1.00 or higher for 10 consecutive business days, from August 22, 2024 to September 6, 2024, to regain Nasdaq compliance.