Flora Regains Compliance with NASDAQ Minimum Bid Requirement

Rhea-AI Summary

Flora Growth Corp. (NASDAQ: FLGC) has successfully regained compliance with Nasdaq's minimum bid price requirement. The company received confirmation from Nasdaq on August 19, 2025, after maintaining a closing bid price above $1.00 per share for 10 consecutive trading days from August 4-15, 2025.

This development resolves the compliance issue that began on February 25, 2025, when Nasdaq notified Flora of its non-compliance with the minimum bid price requirement. The company had been given a 180-calendar day period to meet the listing standard. With this requirement now satisfied, Flora remains fully compliant with all Nasdaq listing standards and will continue trading on the exchange.

Positive

• Successfully regained Nasdaq listing compliance
• Maintained share price above $1.00 for required period
• Continues listing on major exchange without interruption

Negative

• Previously faced delisting risk due to low share price
• Required 6-month compliance period to resolve listing issues

Insights

Corporate Governance Analyst

Flora Growth successfully meets Nasdaq's $1 minimum bid requirement, eliminating delisting risk and maintaining crucial market access for investors.

Flora Growth has successfully navigated a compliance challenge by regaining adherence to Nasdaq's minimum bid price requirement. After falling below the critical $1.00 threshold for 30 consecutive business days in February, the company faced a 180-day compliance period to rectify the situation. They've now achieved the necessary $1.00+ closing bid price for 10 consecutive trading days between August 4-15, resolving the deficiency.

This compliance recovery is significant for several reasons. First, it eliminates the immediate delisting threat, which would have forced the company to less prestigious exchanges with reduced liquidity, institutional investor access, and analyst coverage. Second, maintaining Nasdaq listing preserves shareholder confidence and market legitimacy at a critical time. Third, it suggests potential improvement in market perception of the company's fundamentals, though the specific catalyst for this price recovery isn't detailed.

The resolution also means Flora avoids needing to pursue more drastic measures like a reverse stock split, which would have artificially boosted share price while potentially signaling weakness. While this compliance achievement doesn't directly indicate operational improvements, it removes a significant market accessibility barrier and suggests Flora has bought crucial time to execute its business strategy without the distraction and stigma of a potential delisting procedure.

Fort Lauderdale, Florida--(Newsfile Corp. - August 20, 2025) - Flora Growth Corp. (NASDAQ: FLGC) (FSE: 7301) ("Flora" or the "Company") is pleased to announce that on August 19, 2025, it has received notice from The Nasdaq Stock Market, LLC ("Nasdaq") stating that the Company has regained compliance with the minimum bid price requirement set forth in Rule 5550(a)(2) of the Nasdaq Listing Rules (the "Minimum Bid Price Requirement"). Flora is now in compliance with all applicable listing standards and will continue to be listed and traded on Nasdaq.

As previously announced, on February 25, 2025 Nasdaq notified the Company that it was not in compliance with the Minimum Bid Price Requirement of $1.00 per common share for 30 consecutive business days. In accordance with Nasdaq Listing Rule 5810(c)(3)(A), Nasdaq provided the Company with a 180-calendar day compliance period following the date of such notice to regain compliance with the Minimum Bid Price Requirement. To regain compliance with the Minimum Bid Price Requirement, the Company's common shares were required to maintain a minimum closing bid price of $1.00 or more for at least 10 consecutive trading days. From August 4, 2025 through August 15, a period of 10 consecutive trading days, the closing bid price of the Company's common shares was greater than $1.00 per share. Accordingly, the Company has regained compliance with Listing Rule 5550(a)(2) and the matter has been closed.

Investor Relations:

Investor Relations ir@floragrowth.com
Clifford Starke Clifford.Starke@floragrowth.com

Media:

media@floragrowth.com

Cautionary Statement Concerning Forward-Looking Statements

This press release contains "forward-looking statements," as defined by U.S. federal securities laws. Forward-looking statements reflect Flora's current expectations and projections about future events at the time, and thus involve uncertainty and risk. The words "believe," "expect," "anticipate," "will," "could," "would," "should," "may," "plan," "estimate," "intend," "predict," "potential," "continue," and the negatives of these words and other similar expressions generally identify forward-looking statements. These forward-looking statements include, but are not limited to, statements about: continued compliance with applicable listing standards and the Company's continued listing on Nasdaq. Such forward-looking statements are subject to various and risks and uncertainties, including those described under section entitled "Risk Factors" in Flora's Annual Report on Form 10-K filed with the United States Securities and Exchange Commission (the "SEC") on March 24, 2025, as such factors may be updated from time to time in Flora's periodic filings with the SEC, which are accessible on the SEC's website at www.sec.gov/edgar. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release and in Flora's filings with the SEC. While forward-looking statements reflect Flora's good faith beliefs, they are not guarantees of future performance. Flora disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, new information, data or methods, future events or other changes after the date of this press release, except as required by applicable law. You should not place undue reliance on any forward-looking statements, which are based on information currently available to Flora (or to third parties making the forward-looking statements).

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/263158

FAQ

What was the minimum share price requirement Flora Growth (FLGC) needed to meet for Nasdaq compliance?

Flora Growth needed to maintain a minimum closing bid price of $1.00 or more for at least 10 consecutive trading days to meet Nasdaq's listing requirements.

When did Flora Growth (FLGC) regain Nasdaq compliance?

Flora Growth regained Nasdaq compliance on August 19, 2025, after maintaining the required share price from August 4-15, 2025.

How long was Flora Growth (FLGC) given to resolve its Nasdaq compliance issue?

Flora was given a 180-calendar day compliance period following the February 25, 2025 notification to regain compliance with the minimum bid price requirement.

What happens now that Flora Growth (FLGC) has regained Nasdaq compliance?

Flora Growth will continue to be listed and traded on Nasdaq as it is now in compliance with all applicable listing standards.

When was Flora Growth (FLGC) first notified of its Nasdaq non-compliance?

Flora Growth was notified of its non-compliance with Nasdaq's minimum bid price requirement on February 25, 2025.