Webuy Global Ltd. faces Nasdaq delisting for failing to meet minimum bid price requirements but plans to appeal the decision.
Quiver AI Summary
Webuy Global Ltd. announced that it received a notification from Nasdaq indicating it has not complied with the Minimum Bid Price Rule, which requires listed securities to maintain a bid price of at least $1.00 per share. As a result, Nasdaq will suspend trading of Webuy's Class A ordinary shares starting January 29, 2025. The company was unable to achieve compliance during the designated period despite efforts to do so. Webuy plans to appeal this decision by requesting a hearing before a Nasdaq Hearings Panel. Following the suspension, the company's shares are expected to trade on the OTC market as it seeks to regain Nasdaq compliance. Webuy remains focused on its business initiatives and commitments, especially in the e-commerce and travel sectors in Southeast Asia.
Potential Positives
- The Company plans to appeal Nasdaq's delisting determination, indicating a proactive approach to regaining compliance.
- Webuy Global Ltd. is committed to its business operations and strategic initiatives, showing resilience during challenging times.
- The Company leverages advanced AI technologies in its e-commerce and travel platform, positioning itself as an innovative leader in the Southeast Asian market.
Potential Negatives
- The Company has received a Staff Delisting Determination from Nasdaq, indicating it has failed to comply with the Minimum Bid Price Rule, which may significantly impact its market presence and investor confidence.
- Trading of the Company's Class A ordinary shares will be suspended, leading to potential liquidity issues for shareholders and a negative perception in the market.
- Despite efforts to regain compliance, there is no guarantee that the Company will successfully do so or maintain compliance with other Nasdaq listing criteria, raising concerns about its overall stability and future.
FAQ
What is the reason for Webuy Global Ltd.'s delisting from Nasdaq?
Webuy Global Ltd. failed to comply with Nasdaq Listing Rule 5550(a)(2), related to maintaining a minimum bid price of $1.00 per share.
When will the trading of Webuy Global Ltd.'s shares be suspended?
The trading of Webuy Global Ltd.'s Class A ordinary shares will be suspended at the opening of business on January 29, 2025.
Can Webuy Global Ltd. appeal the delisting decision?
Yes, Webuy Global Ltd. plans to appeal Nasdaq's decision by requesting a hearing before a Nasdaq Hearings Panel.
What steps is Webuy Global Ltd. taking to regain compliance?
The Company is committed to using reasonable efforts to regain compliance with the Minimum Bid Price Rule and will appeal the decision.
Where can Webuy Global Ltd.'s shares be traded after suspension?
Following the suspension, Webuy Global Ltd.'s Class A ordinary shares are expected to trade on the OTC market pending the appeal outcome.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$WBUY Hedge Fund Activity
We have seen 5 institutional investors add shares of $WBUY stock to their portfolio, and 3 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- HRT FINANCIAL LP added 269,773 shares (+427.6%) to their portfolio in Q3 2024, for an estimated $36,149
- CITADEL ADVISORS LLC added 164,628 shares (+inf%) to their portfolio in Q3 2024, for an estimated $22,060
- XTX TOPCO LTD added 62,269 shares (+inf%) to their portfolio in Q3 2024, for an estimated $8,344
- TWO SIGMA SECURITIES, LLC removed 53,400 shares (-71.5%) from their portfolio in Q3 2024, for an estimated $7,155
- UBS GROUP AG removed 48,631 shares (-17.9%) from their portfolio in Q3 2024, for an estimated $6,516
- GROUND SWELL CAPITAL, LLC added 43,659 shares (+inf%) to their portfolio in Q3 2024, for an estimated $5,850
- VIRTU FINANCIAL LLC removed 8,750 shares (-12.9%) from their portfolio in Q3 2024, for an estimated $1,172
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
Singapore, Jan. 28, 2025 (GLOBE NEWSWIRE) -- Webuy Global Ltd. (Nasdaq: WBUY) (the “Company”), today announced that it received a letter on January 22, 2025, from the Listing Qualifications Department of the Nasdaq Stock Market LLC (“Nasdaq”) indicating that the Company has not regained compliance with Nasdaq Listing Rule 5550(a)(2) (the “Minimum Bid Price Rule”), which requires listed securities to maintain a minimum bid price of $1.00 per share. As a result, the Nasdaq staff has issued a Staff Delisting Determination, and the trading of the Company’s Class A ordinary shares will be suspended at the opening of business on January 29, 2025.
The Minimum Bid Price Rule requires listed securities to achieve a closing bid price of at least $1.00 per share for a minimum of 10 consecutive business days within the compliance period. Despite its efforts, the Company was unable to achieve compliance within the allotted timeframe, which consisted of an initial 180-calendar-day period ending July 25, 2024, followed by an additional 180-calendar-day extension period ending January 21, 2025.
The Company will be appealing Nasdaq's determination by requesting a hearing before a Nasdaq Hearings Panel (the “Panel”) pursuant to the procedures set forth in the Nasdaq Listing Rule 5800 Series. A request for the hearing must be submitted by no later than 4:00 p.m. Eastern Time on January 29, 2025. Hearings are typically scheduled to occur approximately 30-45 days after the hearing request is filed.
After the suspension, the Company’s Class A ordinary shares are expected to trade on OTC pending the Panel’s decision after the hearing to reinstate its listing on Nasdaq. The Company will use all reasonable efforts to regain compliance with the Minimum Bid Price Rule, but there can be no assurance that it will successfully do so or that it will remain in compliance with other Nasdaq listing criteria.
The Company remains committed to its business operations and strategic initiatives as it works toward resolving this matter.
About Webuy Global Ltd.
Webuy Global Ltd. is a forward-thinking, technology-driven company aimed at becoming the leading e-commerce and travel platform in Southeast Asia. Leveraging advanced AI technologies, the Company enhances its 'group buy' model by providing personalized recommendations, predictive demand analytics, and seamless community interactions. In addition, Webuy integrates AI-powered travel solutions, such as its proprietary AI Travel Consultant, to deliver personalized itineraries, group travel planning, and real-time support. These innovations streamline the traditional supply chain, foster a community-driven shopping experience, and simplify travel planning for its users. Webuy is committed to improving the lives of millions of families in Southeast Asia with high-quality, affordable products, services, and travel experiences. For more information, visit https://www.webuysg.com/Investor/
Forward-Looking Statements
This press release contains forward-looking statements regarding the Company’s current expectations. These statements are not guarantees of future performance and are subject to certain risks and uncertainties described more fully in the Company’s filings with the SEC. Forward-looking statements are made as of this date, and the Company undertakes no duty to update them, except as required by law.