BEIJING, May 15, 2024
/PRNewswire/ -- Quhuo Limited ("Quhuo" or the "Company") (NASDAQ:
QH), a leading gig economy platform focusing on local life services
in China, today announced that it
received notification letters dated May 10,
2024 (the "Notification Letters") from the Listing
Qualifications Department of The Nasdaq Stock Market Inc. (the
"Nasdaq"), indicating that (1) the Company is not in compliance
with the minimum bid price requirement set forth in Rule 5450(a)(1)
of the Nasdaq Listing Rules as the closing bid price of the
Company's American depositary share ("ADS") has been below
US$1.00 per ADS for a period of 30
consecutive trading days (the "Minimum Bid Price Rule"), and (2)
the Company's minimum market value of publicly held shares
("MVPHS") was less than $15,000,000
for the last 30 consecutive business days prior to the date of the
notification letter, which does not meet the requirement for
continued listing set forth in Nasdaq Listing Rule 5450(b)(1) (the
"MVPHS Rule").
The Notification Letters have no immediate impact on the
Company's listing on the Nasdaq Global Market. Pursuant to Rule
5810(c)(3)(A) and 5810(c)(3)(D) of the Nasdaq Listing Rules, the
Company has a compliance period of 180 calendar days, or until
November 6, 2024 (the "Compliance Period"), to regain compliance
with the Minimum Bid Price Rule and the MVPHS Rule. If at any time
during the Compliance Period, the closing bid price per ADS is at
least US$1.00 for a minimum of 10 consecutive trading days, Nasdaq
will provide the Company a written confirmation of compliance with
the Minimum Bid Price Rule, and the matter will be closed. If at
any time during the Compliance Period, the Company's MVPHS closes
at $15,000,000 or more, or $5,000,000 or more (assuming the Company
satisfies other requirements under the equity standard of Nasdaq's
continued listing rules), for a minimum of ten (10) consecutive
business days, Nasdaq will provide the Company a written
confirmation of compliance with the MVPHS Rule, and the matter will
be closed.
If the Company does not regain compliance with the Minimum Bid
Price Rule by November 6, 2024, the
Company may be eligible for additional time to regain compliance.
To qualify, the Company must submit, no later than November 6, 2024, an on-line transfer application
to Nasdaq Capital Market and submit a non-refundable $5,000 application fee, and meet the continued
listing requirements for market value of publicly held shares and
all other initial listing standards, with the exception of bid
price requirement, of the Nasdaq Capital Market, and provides
written notice to Nasdaq of its intention to cure the deficiency,
including by effecting a reverse stock split, if necessary. As part
of its review process, the Staff will make a determination of
whether the Staff believes the Company will be able to cure this
deficiency. If the Staff concludes that the Company will not be
able to cure the deficiency, or if the Company determines not to
submit a transfer application or make the required representation,
Nasdaq will provide notice that the Company's securities will be
subject to delisting. If the Company chooses to implement a reverse
stock split, it must complete the split no later than ten (10)
business days prior to November 6,
2024, or the expiration of the second compliance period if
granted. The Company intends to monitor the closing bid price of
its ADSs between now and November 6,
2024 and is considering its options, including an adjustment
of its ADS-to-Class A ordinary share ratio, to regain
compliance with the minimum bid price requirement under the Nasdaq
Listing Rules.
In the event the Company does not regain compliance with the
MVPHS Rule by November 6, 2024, the
Company will receive written notification that its securities are
subject to delisting. In the event of such notification, the
Company may appeal Nasdaq's determination to delist its securities,
but there can be no assurance Nasdaq would grant the Company's
request for continued listing. Alternatively, the Company may
consider applying to transfer the Company's securities to the
Nasdaq Capital Market before the expiry of the Compliance Period.
In order to transfer, the Company must submit an on-line transfer
application, pay the $5,000
application fee and meet the Nasdaq Capital Market's continued
listing requirements. The Company intends to monitor its market
value between now and November 6,
2024 and is evaluating various options available to regain
compliance and maintain its continued listing.
The Company is currently in compliance with all other Nasdaq
continued listing standards. The Notification Letter does not
affect the Company's business operations, its U.S. Securities and
Exchange Commission reporting requirements or contractual
obligations.
SAFE HARBOR STATEMENT
This press 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 the Private Securities Litigation
Reform Act of 1995. All statements other than statements of
historical or current fact included in this press release are
forward-looking statements, including but not limited to statements
regarding Quhuo's business development, financial outlook, beliefs
and expectations. Forward-looking statements include statements
containing words such as "expect," "anticipate," "believe,"
"project," "will" and similar expressions intended to identify
forward-looking statements. These forward-looking statements are
based on Quhuo's current expectations and involve risks and
uncertainties. Quhuo's actual results and the timing of events
could differ materially from those anticipated in such
forward-looking statements as a result of these risks and
uncertainties, which include, without limitation, risks and
uncertainties related to Quhuo's abilities to (1) manage its
growth and expand its operations, (2) address any or all of
the risks and challenges in the future in light of its limited
operating history and evolving business portfolios, (3) remain
its competitive position in the on-demand food delivery
market or further diversify its solution offerings and customer
portfolio, (4) maintain relationships with major customers and
to find replacement customers on commercially desirable terms or in
a timely manner or at all, (5) maintain relationship with
existing industry customers or attract new customers,
(6) attract, retain and manage workers on its platform, and
(7) maintain its market shares to competitors in existing
markets and its success in expansion into new markets. Other risks
and uncertainties are included under the caption "Risk Factors" and
elsewhere in the Company's filings with the Securities and Exchange
Commission, including, without limitation, the Company's latest
annual report on Form 20-F. You are cautioned not to
place undue reliance on these forward-looking statements, which
speak only as of the date of this press release. All
forward-looking statements are qualified in their entirety by this
cautionary statement, and Quhuo undertakes no obligation to revise
or update any forward-looking statements to reflect events or
circumstances after the date hereof.
About Quhuo
Quhuo Limited (NASDAQ: QH) is a leading gig
economy platform focusing on local life services in China. Leveraging Quhuo+, its
proprietary technology infrastructure, Quhuo is dedicated to
empowering and linking workers and local life service providers and
providing end-to-end operation solutions for the life service
market. The Company currently provides multiple industry-tailored
operational solutions, primarily including on-demand delivery
solutions, mobility service solutions, housekeeping and
accommodation solutions, and other services, meeting the living
needs of hundreds of millions of families in the communities.
With the vision of promoting employment,
stabilizing income and empowering entrepreneurship, Quhuo explores
multiple scenarios to promote employment of workers, provides,
among others, safety and security and vocational training to
protect workers, and helps workers plan their career development
paths to realize their self-worth.
For more information about Quhuo, please
visit https://ir.quhuo.cn/.
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SOURCE Quhuo Limited