Guardforce AI Receives NASDAQ Notification Letter Regarding Minimum Bid Price Deficiency

Rhea-AI Summary

Guardforce AI (Nasdaq: GFAI, GFAIW) received a notification letter from NASDAQ on March 9, 2022, indicating non-compliance with the minimum bid price requirement mandated by NASDAQ Listing Rule 5550(a)(2). The company failed to maintain a closing bid price of at least US$1.00 for 30 consecutive business days, specifically between January 25 and March 8, 2022. Guardforce AI has until September 6, 2022, to regain compliance by achieving a closing bid price of US$1.00 for at least 10 consecutive trading days. The company's shares will continue to trade uninterrupted on NASDAQ.

Positive

• The company has a 180-day grace period to regain compliance with NASDAQ minimum bid price requirements.
• Guardforce AI plans to monitor its bid price closely and is considering measures to improve its financial position.

Negative

• The company is currently out of compliance with NASDAQ's minimum bid price requirement.
• Failure to regain compliance by September 6, 2022, could lead to delisting from NASDAQ.

NEW YORK, NY / ACCESSWIRE / March 16, 2022 / Guardforce AI Co., Limited ("Guardforce AI" or "Company") (Nasdaq:GFAI, GFAIW), an integrated security solutions provider, announced today that it has received a notification letter (the "Notification Letter") from the Nasdaq Stock Market LLC (the "NASDAQ") dated March 9, 2022, notifying the Company that it is not in compliance with the minimum bid price requirement as set forth under NASDAQ Listing Rule 5550(a)(2) for continued listing on the NASDAQ. This press release is issued pursuant to NASDAQ Listing Rule 5810(b), which requires prompt disclosure upon the receipt of a deficiency notification.

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 ordinary shares for the 30 consecutive business days from January 25, 2022 to March 8, 2022 the Company no longer meets the minimum bid price requirement.

In accordance with the NASDAQ Listing Rule 5810(c)(3)(A), the Company has been provided 180 calendar days, or until September 6, 2022, to regain compliance with NASDAQ Listing Rule 5550(a)(2). To regain compliance, the Company's ordinary shares must have a closing bid price of at least US$1.00 for a minimum of 10 consecutive trading days. In the event that the Company does not regain compliance by September 6, 2022, the Company may be eligible for additional time to regain compliance or may face delisting.

The receipt of the Notification Letter has no immediate effect on the listing of the Company's ordinary shares, which will continue to trade uninterrupted on NASDAQ under the ticker "GFAI". To address this issue, the Company intends to continuously monitor its closing bid price and is in the process of considering various measures to improve its financial position and results of operations, which the Company expects to countervail the short-term adverse effects on its trading price and cure the deficiency in due time.

About Guardforce AI Co., Ltd.

Guardforce AI Co. Ltd. (Nasdaq: GFAI, GFAIW) is a global integrated security solutions provider that is focused on developing robotic solutions and information security services that complement its well-established secured logistics business. With more than 40 years of professional experience, Guardforce AI is a trusted brand name that protects and transports the high-value assets belonging to public and private sector organizations. Guardforce AI develops and provides innovative technologies and services that enhance safety and protection.

For more information, visit www.guardforceai.com

Forward Looking Statements

This press release contains statements that do not relate to historical facts but are "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements can generally (although not always) be identified by their use of terms and phrases such as anticipate, appear, believe, continue, could, estimate, expect, indicate, intend, may, plan, possible, predict, project, pursue, will, would and other similar terms and phrases, as well as the use of the future tense. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on current beliefs, expectations and assumptions regarding the future of the business of the Company, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control, including the risks described in our registration statements and reports under the heading "Risk Factors" as filed with the SEC. Actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Forward-looking statements in this press release speak only as of the date hereof. Unless otherwise required by law, we undertake no obligation to publicly update or revise these forward-looking statements, whether because of new information, future events or otherwise.

Media Relations

Patrick Yu
Email: patrick.yu@fleishman.com
Phone: (+852) 2586-7877

Investor Relations

Shannon Devine
Email: GFAI@mzgroup.us
Phone: +1 203-741-8811

Guardforce AI Corporate Communications

Hu Yu
Email : yu.hu@guardforceai.com

SOURCE: Guardforce AI Co. Ltd.

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FAQ

What does GFAI's NASDAQ notice mean?

GFAI received a notification of non-compliance with NASDAQ's minimum bid price rule, which requires shares to maintain a bid price of at least $1.00.

What is the compliance deadline for GFAI after receiving the NASDAQ notification?

GFAI has until September 6, 2022, to regain compliance with NASDAQ Listing Rule 5550(a)(2).

What happens if GFAI does not meet NASDAQ requirements by the deadline?

If GFAI fails to meet the minimum bid price by September 6, 2022, it may face delisting from NASDAQ.

How long is GFAI's grace period to comply with NASDAQ rules?

GFAI has a 180-day grace period to improve its share price and comply with the minimum bid requirement.