Nano Labs Announces Receipt of Nasdaq Hearings Panel’s Decision to Grant Request for Continued Listing

Rhea-AI Summary

Nano Labs Ltd announced that the Nasdaq Hearings Panel granted its request to continue listing on the Nasdaq, provided compliance with Listing Rule 5210(k)(i) by January 16, 2023. This follows a July 19, 2022, determination letter from Nasdaq regarding potential delisting due to insufficient gross offering proceeds, which must be at least $25 million. The Company appealed this determination and attended a hearing on August 25, 2022. During the Exception Period, Nano Labs must report significant events affecting its compliance.

Positive

• The Nasdaq Hearings Panel granted Nano Labs an exception to continue its listing.
• The Company has until January 16, 2023, to demonstrate compliance with Nasdaq's Listing Rule.

Negative

• Nano Labs faces potential delisting due to failure to meet the $25 million minimum offering proceeds.
• The Company has experienced a significant warning regarding its compliance with Nasdaq requirements.

HANGZHOU, China, Sept. 02, 2022 (GLOBE NEWSWIRE) -- Nano Labs Ltd (the “Company” or “Nano Labs”), a leading fabless integrated circuit design company and product solution provider in China, announced today that the Company received a letter from the Nasdaq Hearings Panel (the “Panel”), indicating its decision to grant the Company’s request to continue its listing on the Nasdaq Stock Market LLC (“Nasdaq”), subject to the condition that the Company will demonstrate compliance with Listing Rule 5210(k)(i) on or before January 16, 2023 (the “Exception Period”).

On July 19, 2022, the Company received a staff determination letter (the “Letter”) from the Listing Qualifications Department of Nasdaq notifying the Company of the determination of the Nasdaq staff (the “Staff”) to delist the Company’s securities from The Nasdaq Global Market because of the Company’s failure to demonstrate compliance with the requirement that the gross offering proceeds be at least $25 million as outlined in Listing Rule 5210(k)(i). Following receipt of the Letter, the Company, through counsel, appealed the Staff’s determination to the Panel and attended a hearing before the Panel on August 25, 2022.

During the Exception Period, the Company is required to provide prompt notification of any significant events that occur during this time that may affect the Company’s compliance with Nasdaq requirements, including, but not limited to, any event that may call into question the Company’s ability to meet the terms of the exception granted.

About Nano Labs Ltd

Nano Labs Ltd is a leading fabless integrated circuit (“IC”) design company and product solution provider in China. Nano Labs is committed to the development of high throughput computing (“HTC”) chips, high performance computing (“HPC”) chips, distributed computing and storage solutions, smart network interface cards (“NICs”) vision computing chips and distributed rendering. Nano Labs has built a comprehensive flow processing unit (“FPU”) architecture which offers solution that integrates the features of both HTC and HPC. Nano Lab’s Cuckoo series are one of the first near-memory HTC chips available in the market with a maximum bandwidth of approximately 2.27 Tbps, as well as one of the first movers of ASIC-based Grin mining market*. For more information, please visit the Company’s website at: ir.nano.cn.

*	According to an industry report prepared by Frost & Sullivan.

Forward-Looking Statements

This report contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, the Company’s plan to appeal the Staff’s determination, which can be identified by terminology such as “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “potential,” “continue,” “is/are likely to” or other similar expressions. Such statements are based upon management’s current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond the Company’s control, which may cause the Company’s actual results, performance or achievements to differ materially from those in the forward-looking statements. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the Securities and Exchange Commission. The Company does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under law.

For investor and media inquiries, please contact:

Nano Labs Ltd
Email: ir@nano.cn

Ascent Investor Relations LLC
Ms. Tina Xiao
Tel: (917) 609-0333
Email: tina.xiao@ascent-ir.com

FAQ

What decision did Nasdaq make regarding Nano Labs on September 2, 2022?

The Nasdaq Hearings Panel granted Nano Labs an exception to continue its listing, pending compliance with Listing Rule 5210(k)(i) by January 16, 2023.

What was the reason for the potential delisting of Nano Labs?

The potential delisting was due to Nano Labs' failure to demonstrate compliance with the requirement of at least $25 million in gross offering proceeds.

What is the deadline for Nano Labs to comply with Nasdaq's requirements?

Nano Labs must comply with Nasdaq's Listing Rule 5210(k)(i) by January 16, 2023.

What must Nano Labs report during the Exception Period?

Nano Labs is required to notify any significant events that may affect its compliance with Nasdaq requirements.