LISHUI, China, May 9, 2023
/PRNewswire/ -- Lixiang Education Holding Co., Ltd. (the "Company"
or NASDAQ: LXEH), a prestigious private education service provider
in China, today announced that it
received two written notices (the "Notices") from the Listing
Qualifications Department of The Nasdaq Global Market on
May 3, 2023 indicating that the
Company was not in compliance with Listing Rule 5450(a)(1)(the
"Minimum Bid Price Rule") and Listing Rule 5450(b)(1)(C)(the
"Minimum Market Value of Publicly Held Shares Rule"), which require
the Company to maintain a minimum bid price of US$1.00 per share, and maintain a minimum market
value of publicly held shares of US$5
million for continued listing on the Nasdaq Global Market,
respectively.
The Minimum Bid Price Rule requires listed securities to
maintain a minimum bid price of US$1.00 per share, and Listing Rule 5810(c)(3)(A)
provides that a failure to meet this requirement exists if the
deficiency continues for a period of 30 consecutive business days.
Based on the closing bid price of the Company from March 20, 2023 to May 2,
2023, the Company no longer meets the requirement of the
Minimum Bid Price Rule. In accordance with Listing Rule
5810(c)(3)(A), the Company has been provided 180 calendar
days, or until October 30, 2023, to
regain compliance with the Minimum Bid Price Rule. To regain
compliance, the Company's securities must have a closing bid price
of at least US$1.00 for a minimum of
10 consecutive business days during the 180-day period or
prior to October 30, 2023. In the
event that the Company does not regain compliance with the Minimum
Bid Price Rule by October 30, 2023,
the Company may be eligible for additional time.
The Minimum Market Value of Publicly Held Shares Rule requires
listed securities to maintain a minimum market value of publicly
held shares of US$5 million, and
Listing Rule 5810(c)(3)(D) provides that a failure to meet this
requirement exists if the deficiency continues for a period of 30
consecutive business days. Based on the market value of publicly
held shares of the Company from March 16,
2023 to May 2, 2023, the
Company no longer meets the requirement of the Minimum Market Value
of Publicly Held Shares Rule. In accordance with Listing Rule
5810(c)(3)(D), the Company has been provided 180 calendar days, or
until October 30, 2023, to regain compliance with the Minimum
Market Value of Publicly Held Shares Rule. To regain compliance,
the Company's market value of publicly held shares must exceed US$5
million for a minimum of ten consecutive business days during
the 180-day period or prior to October 30, 2023. In the
event that the Company does not regain compliance with the Minimum
Market Value of Publicly Held Shares Rule by October 30, 2023, the
Company will receive written notification that its securities are
subject to delisting. Alternatively, the Company may consider
applying to transfer the listing of its securities to the Nasdaq
Capital Market, subject to applicable continued listing
requirements.
The Company intends to actively monitor the closing bid price of
its securities and its market value of publicly held shares between
now and October 30, 2023.
The Notices are only notifications of deficiency, not of
imminent delisting, and have no current effect on the listing or
trading of the Company's securities on the Nasdaq Global
Market.
About Lixiang Education Holding Co., Ltd.
Founded in Lishui City, China, Lixiang Education Holding
Co., Ltd. is a prestigious private education service provider
in Zhejiang Province. The Company's education philosophy is to
guide the healthy development of students and to establish a solid
foundation for their lifelong advancement and happiness. For more
information, please visit: www.lixiangeh.com.
Safe Harbor Statement
This press release contains statements that may constitute
"forward-looking" statements pursuant to the "safe harbor"
provisions of the U.S. Private Securities Litigation Reform Act of
1995. These forward-looking statements can be identified by
terminology such as "will," "expects," "anticipates," "aims,"
"future," "intends," "plans," "believes," "estimates," "likely to,"
and similar statements. The Company may also make written or oral
forward-looking statements in its periodic reports to the U.S.
Securities and Exchange Commission (the "SEC"), in its annual
report to shareholders, in press releases and other written
materials, and in oral statements made by its officers, directors,
or employees to third parties. Statements that are not historical
facts, including statements about the Company's beliefs, plans, and
expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. A number of
factors could cause actual results to differ materially from those
contained in any forward-looking statement, including but not
limited to the following: the Company's strategies, future business
development, and financial condition and results of operations; the
expected growth of the Chinese private education market; Chinese
governmental policies relating to private educational services and
providers of such services; the Company's ability to maintain and
enhance its brand. Further information regarding these and other
risks is included in the Company's filings with the SEC. All
information provided in this press release is as of the date of
this press release, and the Company does not undertake any
obligation to update any forward-looking statement, except as
required under applicable law.
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SOURCE Lixiang Education Holding Co., Ltd.