Wins Finance Holdings Inc. Announces Nasdaq Delisting Determination

Rhea-AI Summary

Wins Finance Holdings Inc. (NASDAQ: WINS) announced on October 19, 2020, that it received a delisting determination from the Nasdaq Stock Exchange. This decision arose due to a qualified opinion from its new auditor regarding the company's Form 20-F, attributed to the freezing of significant assets by a public security bureau in China. The delisting is effective as of October 21, 2020. Wins Finance plans to appeal this decision to the Nasdaq Listing and Hearing Review Council within 15 days. The company's shares may be quoted on the OTC Pink Open Market pending market maker application.

Positive

• Plans to appeal the Nasdaq delisting decision within 15 days.

Negative

• Received a delisting determination from Nasdaq due to a qualified audit opinion.
• Substantial portion of assets frozen by a public security bureau in China.

BEIJING and NEW YORK, October 21, 2020 /PRNewswire/ -- Wins Finance Holdings Inc. ("Wins Finance" or the "Company") (NASDAQ: WINS), a diversified investment and asset management company that provides integrated financing solutions to small and medium enterprises ("SMEs") in China, today announced that on October 19, 2020, the Company received a letter from the Nasdaq Hearing Panel (the "Panel") of the Nasdaq Stock Exchange LLC ("Nasdaq). The letter notified the Company that since its new auditor submitted a qualified opinion on its financial statements filed on Form 20-F due to the freezing of a substantial portion of its assets by a public security bureau in China, this rendered the Form 20-F incomplete. Accordingly, the Panel has determined to delist the Company's shares from Nasdaq effective at the open of business on October 21, 2020. The Company plans to request that the Nasdaq Listing and Hearing Review Council review this decision within 15 days of the notice.

The Company's ordinary shares may become quoted on the OTC Pink Open Market upon application by a market maker. The Company cannot provide assurance with respect to when, or if, a market maker will submit such an application or when quotations will be available.

About Wins Finance

Wins Finance is a diversified investment and asset management company listed on Nasdaq. The Company is focused on identifying value accretive investment opportunities and assets in China and the United States that can be enhanced through the strategic involvement of its established management team and its familiarity with the Chinese investment community to help generate long-term value for shareholders. Wins Finance is well positioned to leverage its expertise and existing operations in China to build a comprehensive platform for the provision of lending and other financing solutions to the under-served small and medium enterprise segment. For more information, please visit www.winsholdings.com.

Forward Looking Statements

This news release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and 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 can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. All statements other than statements of historical fact in this press release are forward-looking statements and involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. These forward-looking statements are based on management's current expectations, assumptions, estimates and projections about the Company and the industry in which the Company operates, but involve a number of unknown risks and uncertainties. Further information regarding these and other risks are described in the Company's Annual Report on Form 20-F for the year ended June 30, 2019 and in the Company's other filings with the U.S. Securities and Exchange Commission. The Company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and actual results may differ materially from the anticipated results. You are urged to consider these factors carefully in evaluating the forward-looking statements contained herein and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by these cautionary statements.

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SOURCE Wins Finance Holdings Inc.

FAQ

Why was Wins Finance Holdings delisted from Nasdaq?

Wins Finance was delisted due to a qualified opinion from its new auditor about its financial statements, related to the freezing of significant assets.

When is the effective date of Wins Finance's delisting?

The delisting became effective on October 21, 2020.

What are Wins Finance's plans after the Nasdaq delisting?

The company plans to appeal the delisting decision to the Nasdaq Listing and Hearing Review Council within 15 days.

Where will Wins Finance shares trade after the Nasdaq delisting?

Wins Finance shares may be quoted on the OTC Pink Open Market if a market maker submits an application.

What led to the qualified opinion on Wins Finance's Form 20-F?

The qualified opinion was due to the freezing of a substantial portion of Wins Finance's assets by a public security bureau in China.