noco-noco Inc Announces Grant of Temporary Exception to remain listed on Nasdaq
noco-noco Inc (NCNC) has been granted a temporary exception by Nasdaq to remain listed on The Nasdaq Capital Market until October 30, 2024. This decision comes after the company received a hearing decision letter from Nasdaq's Listing Qualifications Department. The exception period allows NCNC to regain compliance with two important listing rules: the Bid Price Rule and the Market Value of Listed Securities (MVLS) Rule.
To maintain its listing, noco-noco must meet specific conditions, including implementing a reverse stock split and conducting a series of debt and equity financings. The company is also required to promptly notify Nasdaq of any significant events that may affect its compliance with listing requirements during this exception period.
noco-noco Inc (NCNC) ha ricevuto un'eccezione temporanea da Nasdaq per rimanere quotata sul Nasdaq Capital Market fino al 30 ottobre 2024. Questa decisione è stata presa dopo che la società ha ricevuto una lettera di decisione riguardante l'udienza dal Dipartimento delle Qualifiche per la Quotazione di Nasdaq. Il periodo di eccezione consente a NCNC di riconquistare la conformità con due importanti regole di quotazione: la Regola del Prezzo di Offerta e la Regola del Valore di Mercato dei Titoli Quotati (MVLS).
Per mantenere la sua quotazione, noco-noco deve soddisfare condizioni specifiche, tra cui l'attuazione di un frazionamento azionario inverso e l'esecuzione di una serie di finanziamenti in debito e capitale. La società è inoltre tenuta a notificare prontamente a Nasdaq eventuali eventi significativi che possano influenzare la sua conformità ai requisiti di quotazione durante questo periodo di eccezione.
noco-noco Inc (NCNC) ha sido concedida una excepción temporal por parte de Nasdaq para permanecer listado en el Nasdaq Capital Market hasta el 30 de octubre de 2024. Esta decisión se produce tras recibir una carta de decisión sobre la audiencia del Departamento de Calificaciones de Listado de Nasdaq. El período de excepción permite que NCNC recupere el cumplimiento de dos reglas importantes de listado: la Regla del Precio de Oferta y la Regla del Valor de Mercado de los Valores Listados (MVLS).
Para mantener su lista, noco-noco debe cumplir con condiciones específicas, incluyendo la implementación de un dividendo en acciones inverso y la realización de una serie de financiamientos de deuda y capital. La empresa también debe notificar a Nasdaq de inmediato cualquier evento significativo que pueda afectar su cumplimiento con los requisitos de listado durante este período de excepción.
noco-noco Inc (NCNC)는 Nasdaq으로부터 2024년 10월 30일까지 Nasdaq Capital Market에 계속 상장될 수 있는 임시 예외를 부여받았습니다. 이 결정은 회사가 Nasdaq 상장 자격 부서로부터 청문 회의 결정서를 받은 후에 내려졌습니다. 이 예외 기간은 NCNC가 두 가지 중요한 상장 규칙인 입찰 가격 규칙 및 상장 증권의 시장 가치 규칙(MVLS)을 준수할 수 있도록 합니다.
상장을 유지하기 위해 noco-noco는 주식 분할을 시행하고 부채 및 주식 자금 조달을 수행하는 등 특정 조건을 충족해야합니다. 또한 회사는 이 예외 기간 동안 상장 요건 준수에 영향을 줄 수 있는 중요한 사건이 발생할 경우 즉시 Nasdaq에 통지해야 합니다.
noco-noco Inc (NCNC) a reçu une exception temporaire de la part de Nasdaq pour rester cotée sur le Nasdaq Capital Market jusqu'au 30 octobre 2024. Cette décision fait suite à la réception par la société d'une lettre de décision d'audience du département des qualifications de cotation de Nasdaq. La période d'exception permet à NCNC de retrouver sa conformité avec deux règles de cotation importantes : la règle du prix d'offre et la règle de la valeur marchande des titres cotés (MVLS).
Pour maintenir sa cotation, noco-noco doit respecter des conditions spécifiques, y compris la mise en œuvre d'un fractionnement d'actions inversé et la réalisation d'une série de financements par emprunt et en capital. L'entreprise est également tenue d'informer rapidement Nasdaq de tout événement significatif pouvant affecter sa conformité aux exigences de cotation pendant cette période d'exception.
noco-noco Inc (NCNC) wurde von Nasdaq eine vorübergehende Ausnahme gewährt, um bis zum 30. Oktober 2024 an der Nasdaq Capital Market gelistet zu bleiben. Diese Entscheidung fiel, nachdem das Unternehmen ein Entscheidungsschreiben über die Anhörung von der Abteilung für Zulassungsqualifikationen von Nasdaq erhalten hatte. Der Ausnahmepunkt ermöglicht es NCNC, die Konformität mit zwei wichtigen Zulassungsregeln wiederherzustellen: der Gebotspreisregel und der Marktwertregel für gelistete Wertpapiere (MVLS).
Um die Listung aufrechtzuerhalten, muss noco-noco spezifische Bedingungen erfüllen, darunter die Implementierung eines aktienmäßigen Reverse-Split und die Durchführung einer Reihe von Fremd- und Eigenkapitalfinanzierungen. Das Unternehmen ist auch verpflichtet, Nasdaq umgehend über bedeutende Ereignisse zu informieren, die seine Konformität mit den Zulassungsvoraussetzungen während dieser Ausnahmepause beeinflussen könnten.
- Temporary exception granted to remain listed on Nasdaq Capital Market
- Extension until October 30, 2024 to regain compliance with listing rules
- Opportunity to implement reverse stock split and conduct financings to meet requirements
- Risk of delisting if compliance not achieved by October 30, 2024
- Need for reverse stock split, potentially diluting shareholder value
- Requirement for debt and equity financings, possibly increasing debt or diluting ownership
Insights
This news is critical for noco-noco's short-term survival as a publicly traded company. The temporary exception granted by Nasdaq provides a lifeline until October 30, 2024, but comes with stringent conditions. The company must address two key issues:
- The Bid Price Rule: Likely requiring a reverse stock split to boost share price
- The Market Value of Listed Securities (MVLS) Rule: Necessitating significant capital raising
These requirements suggest substantial dilution risk for current shareholders. The tight deadline and need for "prompt notification of significant events" indicate a precarious financial position. Investors should closely monitor the company's ability to meet these conditions, as failure could result in delisting, severely impacting liquidity and valuation.
The Nasdaq's decision highlights the regulatory challenges facing noco-noco. The granted exception is not a free pass but a conditional reprieve with strict compliance requirements. Key legal considerations include:
- Disclosure obligations: The company must promptly report significant events, increasing transparency but potentially exposing vulnerabilities
- Corporate actions: The reverse stock split and financing activities will require careful execution to meet legal and regulatory standards
- Investor protection: The situation raises concerns about the company's ability to maintain listing standards designed to protect shareholders
This development underscores the importance of robust corporate governance and the need for noco-noco to navigate complex regulatory requirements to maintain its listing status.
This situation reflects broader market trends affecting small-cap companies, particularly in challenging economic environments. Key observations:
- Increased scrutiny: Exchanges are tightening enforcement of listing standards, potentially leading to more delistings
- Capital market pressures: The need for debt and equity financings indicates difficulties in raising capital, a common issue for smaller firms
- Investor sentiment: This news may further erode confidence in noco-noco, potentially impacting trading volume and liquidity
The company's ability to execute its compliance plan will be crucial for investor perception. Success could position noco-noco as a turnaround story, while failure might serve as a cautionary tale in the small-cap market. This situation highlights the increasing challenges faced by smaller public companies in maintaining their listing status.
Singapore, Aug. 26, 2024 (GLOBE NEWSWIRE) -- noco-noco Inc (the "Company”) received a hearing decision letter (the “Decision Letter”) from the Listing Qualifications Department of The Nasdaq Stock Market LLC (“Nasdaq”). The Decision Letter gave the Company an exception period until October 30, 2024 to regain compliance with Listing Rule 5550(a)(2) (the “Bid Price Rule”) and Listing Rule 5550(b)(2) (the “MVLS Rule”) or any of the alternatives outlined in Listing Rule 5550(b).
Accordingly, the Nasdaq Hearings Panel granted the Company’s request for continued listing on The Nasdaq Capital Market, subject to certain conditions, including the reverse stock split, a series of debt and equity financings, and prompt notification of any significant events during the exception period that may affect the Company’s compliance with Nasdaq requirements.
About noco-noco:
noco-noco Inc. (Nasdaq NCNC) is a technology solutions provider working to accelerate the global transformation to a decarbonized economy. Building its business on X-SEPA™ — the revolutionary battery separator technology developed in Japan and designed for long-lasting and high heat-resistant performance— noco-noco addresses the need for clean, affordable, and sustainable energy storage solutions.
Read more about noco-noco:
https://noco-noco.com/
Safe Harbor Statement:
This press release contains forward-looking statements within the meaning of section 27A of the U.S. Securities Act of 1933, as amended (the “Securities Act”), and section 21E of the U.S. Securities Exchange Act of 1934 (“Exchange Act”) that are based on beliefs and assumptions and information currently available to noco-noco. In some cases, you can identify forward-looking statements by the following words: “may,” “will,” “could,” “would,” “should,” “expect,” “intend,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “project,” “potential,” “continue,” “ongoing,” “target,” “seek” or the negative or plural of these words, or other similar expressions that are predictions or indicate future events or prospects, although not all forward-looking statements contain these words. Any statements that refer to expectations, projections, or other characterizations of future events or circumstances, the markets in which noco-noco operates as well as any information concerning possible or assumed future results of operations of noco-noco, are also forward-looking statements. These statements involve risks, uncertainties, and other factors that may cause actual results, levels of activity, performance, or achievements to be materially different from those expressed or implied by these forward-looking statements. Although noco-noco believes that it has a reasonable basis for each forward-looking statement contained in this communication, noco-noco cautions you that these statements are based on a combination of facts and factors currently known and projections of the future, which are inherently uncertain. noco-noco cannot assure you that the forward-looking statements in this communication will prove to be accurate. These forward-looking statements are subject to a number of risks and uncertainties, including, among others, the impact of the global pandemic like COVID-19, the outcome of any potential litigation, government or regulatory proceedings, and other risks and uncertainties. There may be additional risks that noco-noco presently does not know or that noco-noco currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. In light of the significant uncertainties in these forward-looking statements, you should not regard these statements as a representation or warranty by noco-noco and its respective directors, officers or employees or any other person that noco-noco will achieve their objectives and plans in any specified time frame, or at all. The forward-looking statements in this press release represent the views of noco-noco as of the date of this communication. Subsequent events and developments may cause those views to change. However, while noco-noco may update these forward-looking statements in the future, there is no current intention to do so, except to the extent required by applicable law. You should, therefore, not rely on these forward-looking statements as representing the views of noco-noco as of any date subsequent to the date of this communication.
FAQ
What exception has noco-noco (NCNC) received from Nasdaq?
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