Jiuzi Holdings Received Nasdaq Notification Letters

Rhea-AI Summary

Jiuzi Holdings (NASDAQ: JZXN), a new energy vehicle dealership group in China, announced it received a notification from Nasdaq on May 16, 2024, regarding non-compliance with the minimum bid price rule. The Company's stock price has been below $1 for 30 consecutive business days. JZXN has until November 12, 2024, to regain compliance by maintaining a closing bid price of at least $1 for 10 consecutive business days. If unsuccessful, JZXN may be granted an additional 180 days to comply, potentially requiring a reverse stock split. Previously, on March 29, 2024, JZXN received a Nasdaq notification for failing to timely file its 2023 Annual Report. This issue was resolved on May 20, 2024, when JZXN filed the report.

Positive

• Company has until November 12, 2024, to regain compliance with Nasdaq Listing Rule 5550(a)(2).
• JZXN resolved the filing issue of its 2023 Annual Report, achieving compliance with periodic filing requirements as of May 20, 2024.

Negative

• JZXN's stock price has been below $1 for 30 consecutive business days, leading to a non-compliance notification from Nasdaq.
• Failure to regain compliance within 180 days could necessitate a reverse stock split or risk delisting from Nasdaq.
• JZXN previously failed to timely file its 2023 Annual Report, highlighting potential risks in financial reporting practices.

HANGZHOU, China, May 22, 2024 (GLOBE NEWSWIRE) -- Jiuzi Holdings Inc. (NASDAQ: JZXN; the "Company" or “JZXN”), an emerging new energy vehicle (NEV) dealership group operating under the brand name "Jiuzi" in China, announced today that on May 16, 2024, the Company received a notification letter from the Nasdaq Listing Qualifications Staff of The NASDAQ Stock Market LLC (“Nasdaq”) notifying the Company that the minimum bid price per share for its Class A ordinary shares has been below $1.00 for a period of 30 consecutive business days and the Company therefore no longer meets the minimum bid price requirements set forth in Nasdaq Listing Rule 5550(a)(2).

The notification received has no immediate effect on the listing of the Company’s ordinary shares on Nasdaq. Under the Nasdaq Listing Rules, the Company has until November 12, 2024 to regain compliance. If at any time during such 180-day period the closing bid price of the Company’s Class A ordinary shares is at least $1 for a minimum of 10 consecutive business days, Nasdaq will provide the Company written confirmation of compliance.

If the Company does not regain compliance during such 180-day period, the Company may be eligible for an additional 180 calendar days, provided that the Company meets the continued listing requirement for market value of publicly held shares and all other initial listing standards for Nasdaq except for Nasdaq Listing Rule 5550(a)(2), and provide a written notice of its intention to cure this deficiency during the second compliance period, by effecting a reverse stock split, if necessary.

As previously disclosed on March 29, 2024, the Company had also received a notification letter from Nasdaq notifying the Company that it is not in compliance with the requirements for continued listing set forth in Nasdaq Listing Rule 5250(c)(1) because it did not timely file its annual report on Form 20-F for the year ended October 31, 2023 (the “2023 Annual Report”).

On May 20, 2024, Nasdaq has determined that the Company complies with the periodic filing requirement based on the Company’s filing of its 2023 Annual Report on May 17, 2024 and has closed the matter accordingly.

About Jiuzi Holdings, Inc.

Jiuzi Holdings, Inc., headquartered in Hangzhou, China, and established in 2017, franchises and operates retail stores under the brand name "Jiuzi" to sell New Energy Vehicles ("NEVs") in third and fourth-tier cities in China. The Company mainly sells battery-operated electric vehicles and sources NEVs through more than twenty NEV manufacturers. It has 51 operating franchise stores and one company-owned store. For more information, visit the Company's website at http://www.zjjzxny.cn/.

Forward-Looking Statements

All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties. They are based on current expectations and projections about future events and financial trends that the Company believes may affect its financial condition, results of operations, business strategy, and financial needs, including the expectation that the Offering will be completed. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions. Specifically, forward-looking statements may include statements related to the following matters of the Company:

• Ability to implement its business plan;
• Changes in the Company’s product and service market; and
• Expansion plans and opportunities.
  
  

These forward-looking statements are based on information available as of the date of this press release and our management's current expectations, forecasts and assumptions, and involve a number of judgments, risks and uncertainties that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. The Company undertakes no obligation to update forward-looking statements to reflect subsequent events, circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct. Accordingly, forward-looking statements should not be relied upon as representing our views as of any subsequent date, and you should not place undue reliance on these forward-looking statements in deciding whether to invest in our securities. We do not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

For more information, please contact:

Email: sherry.f@jzxn.com

FAQ

What was the Nasdaq notification received by Jiuzi Holdings on May 16, 2024?

The notification stated that Jiuzi Holdings' stock price had been below $1 for 30 consecutive business days, violating Nasdaq Listing Rule 5550(a)(2).

What is the deadline for Jiuzi Holdings to regain compliance with Nasdaq's minimum bid price rule?

Jiuzi Holdings has until November 12, 2024, to regain compliance by maintaining a closing bid price of at least $1 for 10 consecutive business days.

What happens if Jiuzi Holdings does not regain compliance within 180 days?

If Jiuzi Holdings does not regain compliance, it may be eligible for an additional 180-day period, provided it meets other listing standards and might need to perform a reverse stock split.

How did Jiuzi Holdings resolve its previous Nasdaq non-compliance issue?

Jiuzi Holdings resolved its previous non-compliance issue by filing its 2023 Annual Report on May 17, 2024, which brought it back into compliance with periodic filing requirements.

What is the stock symbol for Jiuzi Holdings?

The stock symbol for Jiuzi Holdings is JZXN.