aibioABVC BioPharma gets Nasdaq equity notice and sells 724,372 shares offshore
Tickers ABVC
ABVC reported stockholders' equity of $723,959, below the $2,500,000 Nasdaq minimum. It also sold shares to 15 non-U.S. buyers for a little more than $436,000.
Key facts
- Company
- ABVC BioPharma, Inc. (NASDAQ: ABVC)
- News type
- Listings
- Primary source
- ABVC BioPharma, Inc. 8-K (2025-04-30)
ABVC BioPharma, Inc. (Nasdaq: ABVC) said Nasdaq's listing qualifications staff told it on April 24, 2025 that it no longer meets the exchange's stockholders' equity rule.
Nasdaq Listing Rule 5550(b)(1) requires companies on the Nasdaq Capital Market to keep at least $2,500,000 in stockholders' equity, meaning assets minus liabilities. ABVC reported stockholders' equity of $723,959 in its annual report for the year ended December 31, 2024. The Fremont, California company also did not meet the alternative tests based on market value of listed securities or net income.
ABVC has 45 calendar days to submit a plan to regain compliance. If Nasdaq accepts it, the company may get until October 21, 2025 to show compliance. If not, it can appeal to a Hearings Panel. The notice has no immediate effect on the listing. ABVC said it will monitor its stockholders' equity and consider its options.
In the same filing, ABVC said that between April 11, 2025 and the report date it sold an aggregate of 724,372 shares of common stock to 15 non-U.S. persons under Regulation S, an exemption for offshore sales. It received gross proceeds of a little more than $436,000.
Each buyer also signed a voting rights proxy agreement and agreed to transfer all of his or her voting rights to Eugene Jiang, the company's chairman, for the maximum time permitted by law.