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Hong Kong, Nov. 19, 2024 (GLOBE NEWSWIRE) -- J-Long Group Limited (Nasdaq: JL), a Hong Kong based and established distributor of reflective and non-reflective garment trims including, among others, heat transfers, fabrics, woven labels and tapes, sewing badges, piping, zipper pulls and drawcords, today announced receipt of a letter (the “Determination Letter”) from the Listing Qualifications Department of The Nasdaq Stock Market LLC (“Nasdaq”). The Determination Letter indicated that, as previously notified by Nasdaq on May 13, 2024, the bid price of the Company’s listed security had closed at less than $1 per share over the previous 30 consecutive business days and, as a result, did not comply with Listing Rule 5550(a)(2) (the “Rule”). In accordance with the Rule, the Company was provided 180 calendar days, or until November 11, 2024, to regain compliance with the Rule
The Determination Letter stated:
“The Company has not regained compliance with the Rule, and the listed security is now subject to delisting from The Nasdaq Global Market. Unless the Company requests an appeal of this determination by November 25, 2024, [as described in further detail below], we have determined that the listed security will be scheduled for delisting at the opening of business on November 27, 2024…..”
The Staff determined that the Company’s Ordinary Shares would be scheduled for delisting from The Nasdaq Global Market and would be suspended at the open of business on November 25, 2024. Further, a Form 25-NSE would be filed with the Securities and Exchange Commission (the “SEC”), which would remove the Company’s securities from listing and registration on The Nasdaq Stock Market (the “Delisting Determination”).
The Determination Letter further informed the Company that it had until 4:00 p.m. Eastern Time on November 25, 2024, to appeal the Staff’s Delisting Determination to a Hearings Panel and request a hearing to stay the suspension of the Company’s Ordinary Shares from trading and the filing of the Form 25-NSE with the SEC. The Company fully intends to submit a hearing request for an oral hearing and pay the hearing fee of $20,000 prior to November 25, 2024.
The Company will be asked to provide Nasdaq with a plan to regain compliance. At this time, the Company is considering effecting a reverse stock split to regain compliance. The Company’s Ordinary Shares will continue to trade on The Nasdaq Global Market following the submission of the hearing request until a final determination has been made by Nasdaq.
“We are cognizant of the value to our shareholders of the listing of our shares on Nasdaq given the liquidity and pricing efficiency that the exchange provides. We pledge our best efforts towards improved performance which we believe will allow us to meet the continued listing standards,” stated Mr. Danny Tze Ching Wong, the Chairman of the Board and founder of J-Long Group Limited.