Kaixin Holdings Announces Receipt of Nasdaq Delisting Determination and Submission of Appeal
Kaixin Holdings (NASDAQ: KXIN) has received a delisting determination from Nasdaq due to non-compliance with the minimum bid price requirement. The company's stock closed below $0.10 for ten consecutive trading days, violating Nasdaq Listing Rule 5810(c)(3)(A)(iii). Kaixin has appealed the decision and requested a hearing scheduled for October 3, 2024. The appeal has temporarily stayed the delisting process.
To regain compliance, Kaixin is considering options including a reverse stock split, which shareholders will vote on at an extraordinary general meeting on October 1, 2024. The company had previously been granted extensions until January 27, 2025 to meet the $1 minimum bid price requirement. Kaixin operates as a new energy vehicle manufacturer and sales platform in China.
Kaixin Holdings (NASDAQ: KXIN) ha ricevuto una determinazione di esclusione da Nasdaq a causa della non conformità con i requisiti di prezzo minimo delle offerte. Le azioni della società hanno chiuso sotto $0.10 per dieci giorni di negoziazione consecutivi, violando la Regola di Quotazione 5810(c)(3)(A)(iii) di Nasdaq. Kaixin ha fatto appello alla decisione e ha richiesto un'udienza programmata per il 3 ottobre 2024. L'appello ha temporaneamente sospeso il processo di esclusione.
Per riacquistare la conformità, Kaixin sta valutando opzioni tra cui un raggruppamento di azioni, su cui gli azionisti voteranno in un'assemblea generale straordinaria il 1 ottobre 2024. In precedenza, alla società erano state concesse proroghe fino al 27 gennaio 2025 per soddisfare il requisito di prezzo minimo di $1. Kaixin opera come un produttore di veicoli a energia nuova e piattaforma di vendita in Cina.
Kaixin Holdings (NASDAQ: KXIN) ha recibido una determinación de deslistado de Nasdaq debido a la falta de cumplimiento con el requisito de precio mínimo de oferta. Las acciones de la empresa cerraron por debajo de $0.10 durante diez días de negociación consecutivos, violando la Regla de Cotización 5810(c)(3)(A)(iii) de Nasdaq. Kaixin ha apelado la decisión y ha solicitado una audiencia programada para el 3 de octubre de 2024. La apelación ha suspendido temporalmente el proceso de deslistado.
Para recuperar la conformidad, Kaixin está considerando opciones, incluyendo una división inversa de acciones, que los accionistas votarán en una reunión general extraordinaria el 1 de octubre de 2024. Anteriormente, se habían otorgado extensiones hasta el 27 de enero de 2025 para cumplir con el requisito de precio mínimo de $1. Kaixin opera como un fabricante de vehículos de nueva energía y plataforma de ventas en China.
Kaixin Holdings (NASDAQ: KXIN)는 최소 청구 가격 요건을 충족하지 못해 Nasdaq으로부터 상장 폐지 결정 통지를 받았습니다. 회사의 주가는 10일 연속 $0.10 이하로 마감되어 Nasdaq 상장 규칙 5810(c)(3)(A)(iii)를 위반했습니다. Kaixin은 이 결정에 대해 항소하였고, 2024년 10월 3일에 예정된 청문회를 요청했습니다. 항소는 상장 폐지 과정을 일시적으로 중단시켰습니다.
규제를 준수하기 위해 Kaixin은 주식 분할과 같은 옵션을 고려하고 있으며, 이는 주주들이 2024년 10월 1일에 열릴 특별 총회에서 투표할 예정입니다. 회사는 최소 청구 가격 요건인 $1을 충족하기 위한 연장을 2025년 1월 27일까지 받았습니다. Kaixin은 중국에서 새로운 에너지 차량 제조업체 및 판매 플랫폼으로 운영됩니다.
Kaixin Holdings (NASDAQ: KXIN) a reçu une décision de radiation de la part de Nasdaq en raison de son non-respect avec l'exigence du prix minimal des offres. L'action de la société a clôturé en dessous de 0,10 $ pendant dix jours de bourse consécutifs, violant la règle d'inscription 5810(c)(3)(A)(iii) de Nasdaq. Kaixin a fait appel de la décision et a demandé une audience prévue pour le 3 octobre 2024. L'appel a temporairement suspendu le processus de radiation.
Pour retrouver sa conformité, Kaixin envisage des options, y compris un regroupement d'actions, sur lequel les actionnaires voteront lors d'une assemblée générale extraordinaire le 1er octobre 2024. La société avait précédemment obtenu des prolongations jusqu'au 27 janvier 2025 pour satisfaire à l'exigence de prix minimal de 1 $. Kaixin opère en tant que fabricant de véhicules à énergie nouvelle et plateforme de vente en Chine.
Kaixin Holdings (NASDAQ: KXIN) hat eine Entscheidung über die Delistung von Nasdaq erhalten, da die Mindestgebotsanforderung nicht eingehalten wurde. Die Aktien des Unternehmens schlossen zehn Handelstage in Folge unter $0,10, was gegen die Nasdaq-Listing-Regel 5810(c)(3)(A)(iii) verstieß. Kaixin hat gegen die Entscheidung Berufung eingelegt und eine Anhörung beantragt, die für den 3. Oktober 2024 angesetzt ist. Die Berufung hat den Delistungsverfahren vorübergehend ausgesetzt.
Um die Konformität wiederherzustellen, prüft Kaixin Optionen, einschließlich eines Aktienrücksplits, über den die Aktionäre in einer außerordentlichen Hauptversammlung am 1. Oktober 2024 abstimmen werden. Das Unternehmen hatte zuvor Fristverlängerungen bis zum 27. Januar 2025 erhalten, um die Mindestgebotsanforderung von $1 zu erfüllen. Kaixin fungiert als Hersteller von Neuen Energiefahrzeugen und Verkaufsplattform in China.
- Appeal request has temporarily stayed the delisting process
- Company is considering options to regain compliance, including a reverse stock split
- Shareholders will vote on reverse stock split on October 1, 2024
- Received Nasdaq delisting determination due to stock price falling below $0.10 for ten consecutive days
- Non-compliance with Nasdaq's minimum bid price requirement of $1
- Potential delisting from Nasdaq if appeal is unsuccessful
Insights
This news is significantly negative for Kaixin Holdings. The company's failure to maintain the minimum
The prolonged period of extremely low share price (below
Investors should be wary of potential liquidity issues and increased volatility if delisting occurs, as trading would likely shift to less regulated over-the-counter markets.
Kaixin's delisting appeal process is a critical juncture for the company. The scheduled hearing on October 3rd provides a brief window for the company to present its case and compliance plan to Nasdaq. However, historical precedent suggests that successful appeals in such situations are rare without concrete, near-term plans for share price improvement.
The proposed reverse stock split, while a common tactic, is not a guaranteed solution. It requires shareholder approval and doesn't address underlying business issues. Investors should closely monitor the outcome of the October 1st shareholder meeting and subsequent Nasdaq hearing.
If delisting proceeds, Kaixin must navigate complex SEC reporting requirements and potential investor lawsuits, adding significant legal and compliance burdens.
Kaixin's predicament reflects broader challenges in China's EV market. Despite the sector's growth, intense competition and economic headwinds have led to consolidation and financial struggles for smaller players. Kaixin's market performance suggests it's failing to differentiate itself effectively in this crowded landscape.
The potential delisting could severely impact Kaixin's brand perception and ability to attract partnerships or customers in the quality-conscious EV market. It may also hinder the company's expansion plans and R&D investments, important for staying competitive in the rapidly evolving EV technology race.
Investors should consider Kaixin's position relative to larger, more established Chinese EV manufacturers and assess whether the company has a viable path to profitability and market share growth in this challenging environment.
HANGZHOU, China, Aug. 22, 2024 (GLOBE NEWSWIRE) -- Kaixin Holdings (“Kaixin” or the “Company”) (NASDAQ: KXIN), a leading new energy vehicle manufacturer and sales platform in China, today announced that it received a letter from The Nasdaq Stock Market LLC (“Nasdaq”) dated August 19, 2024, indicating that the Company was not in compliance with Nasdaq Listing Rule 5810(c)(3)(A)(iii), as the Company’s securities had a closing bid price of
As previously reported, on February 1, 2024, Nasdaq notified the Company that the bid price of its listed securities had closed at less than
The Letter indicates that unless the Company requests an appeal of the Delisting Determination by August 26, 2024, trading of the Company’s ordinary shares will be suspended at the opening of business on August 28, 2024, and a Form 25-NSE will be filed with the Securities and Exchange Commission (the “SEC”), which will remove the Company’s securities from listing and registration on the Nasdaq.
The Company has submitted a request for a hearing to appeal the Delisting Determination to a Hearings Panel of the Nasdaq (the “Panel”) on August 21, 2024. As notified by the Panel, a hearing is scheduled to be held on October 3, 2024. The hearing request has stayed the suspension of the Company’s securities and the filing of the Form 25-NSE pending the Panel’s decision.
The Company is considering all potential options available to regain compliance with the aforementioned rules, including seeking stockholder approval for a reverse stock split. As previously reported on the Form 6-K filed with the SEC on August 13, 2024, the Company has scheduled to hold an extraordinary general meeting of shareholders on October 1, 2024 to vote upon a reverse stock split, with the consolidation to take effect upon the completion of administrative procedures pursuant to listing exchange requirements.
About Kaixin Holdings
Kaixin Holdings is a leading new energy vehicle manufacturer in China, equipped with professional teams with rich experience in R&D, production, marketing, and production facilities with the capacity for stamping, welding, painting, and assembly operations. Kaixin produces multiple electric passenger and logistics vehicle models. The Company is committed to building up a competitive international market position that integrates online and offline presence and diversified business operations. Leveraging the expertise of its professional teams and driven by the inspiration for innovation and sustainability, Kaixin aims to contribute to achieving the goals of “peak carbon emissions and carbon neutrality”.
Safe Harbor Statement
This announcement may contain 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 "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" or other similar expressions. Statements that are not historical facts, including statements about Kaixin’s beliefs and expectations, are 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, including but not limited to the following: our goals and strategies; our future business development, financial condition and results of operations; our expectations regarding demand for and market acceptance of our services; our expectations regarding the retention and strengthening of our relationships with auto dealerships; our plans to enhance user experience, infrastructure and service offerings; competition in our industry in China; and relevant government policies and regulations relating to our industry. Further information regarding these and other risks is included in our other documents filed with the SEC. All information provided in this announcement and in the attachments is as of the date of this announcement, and Kaixin does not undertake any obligation to update any forward-looking statement, except as required under applicable law.
For more information, please contact:
Kaixin Holdings
Investor Relations
Email: ir@kaixin.com
SOURCE: Kaixin Holdings
FAQ
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