CLPS Inc. Faces Nasdaq Delisting Warning Over Low Share Price
Ticker: CLPS · Form: 6-K · Filed: Jun 14, 2024 · CIK: 1724542
| Field | Detail |
|---|---|
| Company | Clps INC (CLPS) |
| Form Type | 6-K |
| Filed Date | Jun 14, 2024 |
| Risk Level | medium |
| Pages | 1 |
| Reading Time | 1 min |
| Key Dollar Amounts | $1.00 |
| Sentiment | bearish |
Sentiment: bearish
Topics: listing-compliance, delisting-risk, sec-filing
TL;DR
CLPS got a Nasdaq warning - share price below $1 for 30 days, risk of delisting.
AI Summary
On June 14, 2024, CLPS Inc. announced it received a notice from Nasdaq on June 10, 2024, stating its common shares have fallen below the $1.00 minimum bid price for 30 consecutive trading days. This puts the company out of compliance with Nasdaq listing rules.
Why It Matters
Failure to regain compliance with Nasdaq's minimum bid price rule could lead to the delisting of CLPS Inc.'s common shares from the exchange, impacting liquidity and investor confidence.
Risk Assessment
Risk Level: medium — The company is non-compliant with Nasdaq's minimum bid price rule, which could lead to delisting if not rectified.
Key Numbers
- $1.00 — Minimum Bid Price (The threshold CLPS Inc.'s common shares must maintain to comply with Nasdaq listing rules.)
- 30 — Consecutive Trading Days (The duration for which CLPS Inc.'s closing bid price has been below the $1.00 minimum.)
Key Players & Entities
- CLPS Inc. (company) — The company that received the Nasdaq notice.
- Nasdaq (company) — The stock exchange that issued the non-compliance notice.
- $1.00 (dollar_amount) — The minimum closing bid price required by Nasdaq.
- June 14, 2024 (date) — Date of the press release announcing the Nasdaq notice.
- June 10, 2024 (date) — Date of the written notice from Nasdaq.
FAQ
What specific rule has CLPS Inc. violated according to Nasdaq?
CLPS Inc. has violated Nasdaq's rule requiring its common shares to maintain a closing bid price of at least $1.00 per share for a minimum of 30 consecutive trading days.
When did CLPS Inc. receive the official notice from Nasdaq?
CLPS Inc. received the written notice from The Nasdaq Stock Market LLC dated June 10, 2024.
What is the immediate consequence of this notice for CLPS Inc.?
The immediate consequence is that CLPS Inc. is not in compliance with Nasdaq's listing requirements regarding minimum bid price.
What is the potential outcome if CLPS Inc. cannot regain compliance?
If CLPS Inc. cannot regain compliance with Nasdaq's minimum bid price rule, its common shares could be subject to delisting from the Nasdaq stock exchange.
What action did CLPS Inc. take upon receiving the notice?
CLPS Inc. issued a press release on June 14, 2024, to announce that it had received the written notice from Nasdaq.
Filing Stats: 256 words · 1 min read · ~1 pages · Grade level 10.8 · Accepted 2024-06-14 17:00:02
Key Financial Figures
- $1.00 — price for its common shares fell below $1.00 per share for 30 consecutive trading da
Filing Documents
- ea0207893-6k_clpsinc.htm (6-K) — 10KB
- ea020789301ex99-1_clpsinc.htm (EX-99.1) — 8KB
- 0001213900-24-052953.txt ( ) — 18KB
From the Filing
OF FOREIGN PRIVATE ISSUER UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 6-K REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934 For the month of June 2024 Commission File No. 001-38505 CLPS Incorporation c/o Unit 1000, 10th Floor, Millennium City III 370 Kwun Tong Road, Kwun Tong, Kowloon Hong Kong SAR Tel: (852) 37073600 (ADDRESS OF PRINCIPAL EXECUTIVE OFFICE) Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. Form 20-F Form 40-F Information Contained in this Form 6-K Report On June 14, 2024, CLPS Inc. (the “Company”) issued a press release announcing that it received a written notice from The Nasdaq Stock Market LLC (“Nasdaq”) dated June 10, 2024, indicating that the Company’s closing bid price for its common shares fell below $1.00 per share for 30 consecutive trading days, which is not in compliance with Nasdaq Listing Rule 5450(a)(1). The Nasdaq notification does not affect the Company’s current listing or trading of the common shares on the Nasdaq Global Market. A copy of this press release is filed as Exhibit 99.1 to this report. Exhibits 99.1 Press Release 1 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. CLPS Incorporation By: /s/ Raymond Ming Hui Lin Name: Raymond Ming Hui Lin Title: Chief Executive Officer Dated: June 14, 2024 2