ReTo Eco-Solutions Receives NASDAQ Notification Regarding Minimum Bid Requirements

Rhea-AI Summary

ReTo Eco-Solutions, Inc. (NASDAQ: RETO) announced it received a notification from Nasdaq regarding non-compliance with the minimum bid price requirement, as its shares traded below $1.00 for 30 consecutive business days. The compliance period lasts until March 3, 2021, during which ReTo must raise its bid price above $1.00 for at least 10 consecutive days to regain compliance. If unsuccessful, the company could qualify for an additional 180-day grace period to meet the requirement. The share price's current status could impact investor sentiment and market valuation.

Positive

• The company has a compliance period of 180 days to regain compliance with Nasdaq's requirements.
• Potential for an additional 180-day grace period if compliance is not achieved initially.

Negative

• The share price fell below $1.00, indicating potential challenges in attracting investor confidence.
• Non-compliance with Nasdaq listing requirements could lead to future delisting risks if not remedied.

BEIJING, Sept. 8, 2020 /PRNewswire/ -- ReTo Eco-Solutions, Inc. (the "Company," "we" or "ReTo") (NASDAQ: RETO), a full spectrum provider of products and services, ranging from the production of environmentally-friendly construction materials and manufacturing equipment used to produce construction materials, to project consulting, design and installation, today announced that on September 4, 2020, it received a letter from The Nasdaq Stock Market LLC ("Nasdaq"), notifying the Company that it is currently not in compliance with the minimum bid price requirement set forth under Nasdaq Listing Rule 5550(a)(2). It resulted from the fact that the closing bid price of the Company's ordinary shares was below $1.00 per share for a period of 30 consecutive business days. This press release is issued pursuant to Nasdaq Listing Rule 5810(b), which requires prompt disclosure of receipt of a deficiency notification. The notification has no immediate effect on the listing of the Company's ordinary shares, which will continue to trade uninterrupted on Nasdaq under the ticker "RETO".

Pursuant to Nasdaq Listing Rule 5810(c)(3)(A), the Company has a compliance period of 180 calendar days, or until March 3, 2021 (the "Compliance Period"), to regain compliance with Nasdaq's minimum bid price requirement. If at any time during the Compliance Period, the closing bid price per share of the Company's ordinary shares is at least $1.00 for a minimum of 10 consecutive business days, Nasdaq will provide the Company a written confirmation of compliance and the matter will be closed.

In the event the Company does not regain compliance with the minimum bid price requirement by March 3, 2021, the Company may be eligible for an additional 180 calendar day grace period.

About ReTo Eco-Solutions, Inc. (NASDAQ: RETO)

Founded in 1999, ReTo (NASDAQ: RETO) is a leader in ecological innovation, with sustainable environmental priorities and seeks to empower communities through its proprietary technologies, systems and solutions, which have been used to bring clean water and fertile soil to villages and cities worldwide. The Company is founded on its strategy of Technology Improves Ecology and is a full spectrum provider of products and services, ranging from the production of environmentally-friendly construction materials, environmental protection equipment and manufacturing equipment used to produce environmentally-friendly construction materials, to project consulting, design and installation for the health and improvement of ecological environments, such as ecological soil restoration, through solid waste treatment. For more information, please visit: http://en.retoeco.com

Forward-Looking Statements

This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and 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.  Specifically, the Company's statements regarding its ability to regain compliance with the Nasdaq listing requirements are 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 following: the Company's goals and strategies; the Company's future business development; product and service demand and acceptance; changes in technology; economic conditions; the growth of construction and ecological solutions in China and internationally; reputation and brand; the impact of competition and pricing; government regulations; fluctuations in general economic and business conditions in China and internationally and assumptions underlying or related to any of the foregoing and other risks contained in reports filed by the Company with the Securities and Exchange Commission. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Additional factors are discussed in the Company's filings with the U.S. Securities and Exchange Commission, which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

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SOURCE ReTo Eco-Solutions, Inc.

FAQ

What recent notification did ReTo Eco-Solutions receive from Nasdaq?

ReTo Eco-Solutions received a notification about non-compliance with Nasdaq's minimum bid price requirement after its shares traded below $1.00 for 30 consecutive days.

What is the compliance period for ReTo Eco-Solutions to meet Nasdaq's requirements?

ReTo has a 180-day compliance period until March 3, 2021, to raise its share price above $1.00.

What happens if ReTo Eco-Solutions does not regain compliance with Nasdaq requirements?

If ReTo does not regain compliance by March 3, 2021, it may be eligible for an additional 180-day grace period.

What is the current status of ReTo Eco-Solutions shares on Nasdaq?

Despite the compliance notification, ReTo Eco-Solutions shares continue to trade on Nasdaq under the ticker RETO.