Linkage Global Inc Receives Notification from Nasdaq Regarding Delayed Form 20-F Filing

Rhea-AI Summary

Linkage Global Inc (LGCB) receives a notice from Nasdaq for non-compliance with filing its Annual Report on Form 20-F for the fiscal year 2023. The company has until April 16, 2024, to submit a plan to regain compliance with Nasdaq Listing Rules.

Insights

Financial Analyst

Linkage Global Inc's delay in filing the Annual Report signals potential operational or financial issues that require close scrutiny. Investors often view such delays as red flags, possibly indicating internal control weaknesses or financial discrepancies. The delay could affect investor confidence and may result in stock price volatility. It is crucial to analyze the company's previous financial health and any communication for hints of underlying problems. Additionally, the market will anticipate the eventual filing for signs of audit issues or restatements, which could further influence the stock's performance.

Legal Expert

Non-compliance with Nasdaq's Listing Rule 5250(c)(1) can have legal repercussions for Linkage Global Inc. While the Notice itself doesn't immediately affect the listing, failure to submit a satisfactory compliance plan or to file the overdue report within the extended period could lead to delisting. This would severely impact the company's ability to raise capital and its credibility in the market. The legal processes involved in regaining compliance are complex and require transparent communication with the SEC and Nasdaq, as well as with shareholders. The company's legal team must navigate this situation carefully to avoid further legal and financial consequences.

Market Research Analyst

The e-commerce industry is highly competitive and timely financial disclosures are critical for maintaining investor trust. Linkage Global Inc's situation must be monitored in the context of the industry's performance and the company's market position. If the delay is due to strategic acquisitions or expansions that could eventually benefit the company, the long-term impact might be less detrimental. However, if the delay is due to negative financial results or operational inefficiencies, it could lead to a loss of market share. It's essential to compare this event with competitors' compliance records to understand potential market shifts.

Tokyo Japan, Feb. 20, 2024 (GLOBE NEWSWIRE) -- Linkage Global Inc (the “Company” or “Linkage”), (NASDAQ: LGCB), a cross-border e-commerce integrated service company headquartered in Japan, today announced that it received a notice (the “Notice”) from the Listing Qualifications Department of the Nasdaq Stock Market LLC (“Nasdaq”), stating that the Company is not in compliance with Nasdaq Listing Rule 5250(c)(1) because it had not timely filed its Annual Report on Form 20-F for the fiscal year ended September 30, 2023 (the “2023 Annual Report”) with the U.S. Securities and Exchange Commission (the “SEC”). Nasdaq Listing Rule 5250(c)(1) requires listed companies to timely file all required public financial reports with the SEC.

The Notice provides that the Company has until April 16, 2024 to submit to Nasdaq a plan to regain compliance with the Nasdaq Listing Rules. If Nasdaq accepts the Company’s plan, then Nasdaq may grant the Company an exception of up to 180 calendar days from the due date of the 2023 Annual Report, or until August 13, 2024, to regain compliance. The Notice has no immediate impact on the listing of the Company’s securities on Nasdaq.

As previously reported by the Company in its Notification of Late Filing on Form 12b-25, filed with the SEC on January 29, 2024, the Company was unable, without unreasonable effort or expense, to file its 2023 Annual Report within the prescribed period. The Company is working diligently to complete the 2023 Annual Report as soon as practicable. The Company intends to file the 2023 Annual Report before the compliance plan is due on April 16, 2024, or alternatively, will submit to Nasdaq a plan to regain compliance on or before April 16, 2024, as required by the Notice.

About Linkage Global Inc

Linkage Global Inc is a cross-border e-commerce integrated services provider headquartered in Japan, with operations in Japan, Hong Kong, and mainland China. The Company has developed a comprehensive service system comprised of two lines of business complementary to each other, including (i) cross-border sales and (ii) integrated e-commerce services. Cross-border sales operations were initially launched in 2011 in Japan through the Company’s subsidiary, EXTEND CO., LTD. The products sold in the Company’s cross-border sales business are sourced from Japanese and Chinese manufacturers and brands, together with the Company’s private label smart products. Linkage also provides digital marketing solutions to its customers by cooperating with Google and other channels. Since 2021, the Company has started offering e-commerce operation training courses and software support services. The mission of Linkage is to make cross-border transactions easier. For more information, please visit https://www.linkagecc.com/.

Forward-Looking Statement

This press release contains forward-looking statements. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performances, underlying assumptions, and other statements that are other than statements of historical facts. When the Company uses words such as "may,” "will,” "intend," "should," "believe," "expect," "anticipate," "project," "estimate," or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause the actual results to differ materially from the Company's expectations discussed in the forward-looking statements. These statements are subject to uncertainties and risks, including, but not limited to, the uncertainties related to market conditions. Additional factors are discussed in the Company's filings with the SEC, which are available for review at www.sec.gov. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

For more information, please contact:

Investor Relations
WFS Investor Relations Inc.
Connie Kang, Partner
Email: ckang@wealthfsllc.com
Tel: +86 1381 185 7742

FAQ

Why did Linkage Global Inc receive a notice from Nasdaq?

Linkage Global Inc received a notice from Nasdaq for not timely filing its Annual Report on Form 20-F for the fiscal year 2023.

What is the deadline for Linkage Global Inc to submit a plan to regain compliance with Nasdaq Listing Rules?

Linkage Global Inc has until April 16, 2024, to submit a plan to regain compliance with Nasdaq Listing Rules.

What happens if Nasdaq accepts Linkage Global Inc's plan?

If Nasdaq accepts Linkage Global Inc's plan, the company may be granted an exception of up to 180 calendar days from the due date of the 2023 Annual Report to regain compliance.

Is the listing of Linkage Global Inc's securities on Nasdaq immediately impacted by the Notice?

The Notice from Nasdaq has no immediate impact on the listing of Linkage Global Inc's securities on Nasdaq.

When does Linkage Global Inc intend to file the 2023 Annual Report?

Linkage Global Inc intends to file the 2023 Annual Report before the compliance plan is due on April 16, 2024, or will submit a plan to regain compliance by that date.