Leju Announces Receipt of NYSE Non-compliance Letter Regarding ADS Trading Price

Rhea-AI Summary

Leju Holdings Limited (NYSE: LEJU) has received a non-compliance notice from the New York Stock Exchange regarding its American depositary shares (ADSs), which are trading below the required average closing price of $1.00 over 30 trading days. The notice dated January 6, 2022, requires Leju to rectify this by achieving the compliance price within six months. Failure to do so may lead to suspension and delisting. Leju is currently monitoring market conditions and exploring options to regain compliance.

Positive

• Leju is actively exploring options to address NYSE compliance.

Negative

• Leju's ADSs are trading below the required $1.00 average closing price, risking delisting.
• The company has a six-month period to regain compliance, which adds pressure on performance.

BEIJING, Jan. 31, 2022 /PRNewswire/ -- Leju Holdings Limited ("Leju" or the "Company") (NYSE: LEJU), a leading e-commerce and online media platform for real estate and home furnishing industries in China, today announced that it has received a letter from the New York Stock Exchange (the "NYSE") dated January 6, 2022, notifying Leju that it is below compliance standards due to the trading price of Leju's American depositary shares (the "ADSs").

Pursuant to NYSE rule 802.01C, a company will be considered to be below compliance standards if the average closing price of a security as reported on the consolidated tape is less than $1.00 over a consecutive 30 trading-day period. Once notified, the company must bring its share price and average share price back above $1.00 by six months following receipt of the notification. The company can regain compliance at any time during the six-month cure period if on the last trading day of any calendar month during the cure period the company has a closing share price of at least $1.00 and an average closing share price of at least $1.00 over the 30 trading-day period ending on the last trading day of that month. In the event that at the expiration of the six-month cure period, both a $1.00 closing share price on the last trading day of the cure period and a $1.00 average closing share price over the 30 trading-day period ending on the last trading day of the cure period are not attained, the NYSE will commence suspension and delisting procedures.

To address this issue, Leju intends to monitor the market conditions of its listed securities and is still considering its options.

About Leju

Leju is a leading e-commerce and online media platform for real estate and home furnishing industries in China, offering real estate e-commerce, online advertising and online listing services. Leju's integrated online platform comprises various mobile applications along with local websites covering more than 380 cities, enhanced by complementary offline services to facilitate residential property transactions. In addition to the Company's own websites, Leju operates the real estate and home furnishing websites of SINA Corporation, and maintains a strategic partnership with Tencent Holdings Limited. For more information about Leju, please visit http://ir.leju.com.

Safe Harbor Statement

This announcement contains 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" and similar statements. Statements that are not historical facts, including statements about Leju'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 All information provided in this press release is as of the date of this press release, and Leju does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

For more information, please contact:

Ms. Christina Wu
Leju Holdings Limited
Phone: +86 (10) 5895-1062
E-mail: ir@leju.com

Philip Lisio
Foote Group
Phone: +86 135-0116-6560
E-mail: phil@thefootegroup.com

View original content:https://www.prnewswire.com/news-releases/leju-announces-receipt-of-nyse-non-compliance-letter-regarding-ads-trading-price-301471357.html

SOURCE Leju Holdings Limited

FAQ

What is the current trading status of Leju (LEJU) on the NYSE?

Leju's American depositary shares are currently below compliance standards due to trading below $1.00.

What was the date of NYSE's non-compliance notice to Leju?

The NYSE issued the non-compliance notice to Leju on January 6, 2022.

What will happen if Leju fails to meet compliance standards?

If Leju does not achieve a $1.00 closing price and average closing price by the end of the six-month period, it may face suspension and delisting.

How long does Leju have to regain compliance with NYSE standards?

Leju has six months from the notification date to regain compliance.

What are the implications of the non-compliance notice for Leju's investors?

The non-compliance notice raises concerns about Leju's financial health and potential risks of delisting affecting shareholder value.