Fangdd Network Group Ltd. Faces Nasdaq Minimum Bid Price Issue

TL;DR

Fangdd's Nasdaq bid price is still too low, they're asking for more time.

AI Summary

Fangdd Network Group Ltd. announced on June 13, 2024, that it received a notification letter from The Nasdaq Stock Market LLC regarding its non-compliance with the minimum bid price requirement. The company previously disclosed this issue on December 15, 2023, and is seeking an extension to regain compliance.

Why It Matters

This filing indicates potential delisting from Nasdaq if the company cannot meet the minimum bid price requirement, which could impact its stock liquidity and investor confidence.

Risk Assessment

Risk Level: medium — The company is at risk of being delisted from Nasdaq if it cannot meet the minimum bid price requirement, which could negatively impact its stock value and investor confidence.

Key Players & Entities

• Fangdd Network Group Ltd. (company) — Registrant
• The Nasdaq Stock Market LLC (company) — Exchange regulator
• December 15, 2023 (date) — Previous disclosure date
• June 13, 2024 (date) — Current report filing date

FAQ

Key Financial Figures

• $1.00 — “ADSs”) had closed below US$1.00 per ADS for a period of 30 consecutive

Filing Documents

• ea0207734-6k_fangdd.htm (6-K) — 13KB
• 0001213900-24-052255.txt ( ) — 14KB

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 number: 001-39109 Fangdd Network Group Ltd. Room 4106, Building 12B1 Shenzhen Bay Ecological Technology Park Nanshan District, Shenzhen, 518063 People’s Republic of China Phone: +86 755 2699 8968 (Address and Telephone Number of Principal Executive Offices) 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 Transfer of Listing to Nasdaq Capital Market and Extension of Compliance Period for Minimum Bid Price Requirement As previously disclosed in a current report on Form 6-K on December 15, 2023, Fangdd Network Group Ltd. (the “Company”) received a notification letter from The Nasdaq Stock Market LLC (“Nasdaq”) dated December 13, 2023, notifying the Company that the bid price of the Company’s American depositary shares (the “ADSs”) had closed below US$1.00 per ADS for a period of 30 consecutive business days, that it was not in compliance with the minimum bid price requirement set forth in Nasdaq Listing Rule 5450(a)(1) (the “Minimum Bid Price Requirement”), and that the Company had a grace period of 180 calendar days until June 10, 2024 to regain compliance with the Minimum Bid Price Requirement. In response to the notification letter, the Company submitted an application to Nasdaq to transfer the listing of its ADSs from The Nasdaq Global Market to The Nasdaq Capital Market. Nasdaq approved the Company’s transfer application on June 11, 2024. The transfer will take effect at the opening of business on June 13, 2024. The transfer is not expected to have any immediate effect on trading of the Company’s ADSs, which will continue to trade uninterruptedly under the symbol “DUO.” The Nasdaq Capital Market operates in substantially the same manner as The Nasdaq Global Market, and companies on The Nasdaq Capital Market must meet certain financial and corporate governance requirements to qualify for continued listing. In conjunction with such approval, Nasdaq also granted the Company an extended period of 180 calendar days, or until December 9, 2024 (the “Extended Compliance Period”), to regain compliance with the Nasdaq’s Minimum Bid Price Requirement. To regain compliance, the closing bid price of the Company’s ADSs must meet or exceed US$1.00 per ADS for a minimum of 10 consecutive business days. If the Company’s compliance with the Minimum Bid Price Requirement is not satisfied by the end of the Extended Compliance Period, Nasdaq will notify the Company that its securities will be delisted. At that time, the Company may appeal Nasdaq’s determination to a Hearings Panel. There can be no assurance that the Company will be able to regain compliance with the Minimum Bid Price Requirement or maintain its listing on The Nasdaq Capital Market. The Company intends to continue actively monitoring the closing bid price of its ADSs and will consider other options to cure the deficiency and regain compliance. Incorporation by Reference This report on Form 6-K is hereby incorporated by reference in the registration statement of Fangdd Network Group Ltd. on Form F-3 (No. 333-267397) to the extent not superseded by documents or reports subsequently filed. 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. Fangdd Network Group Ltd. By: /s/ Xi Zeng Name: Xi Zeng Title: Chief Executive Officer and Chairman of the Board of Directors Date: June 13, 2024 2

View Full Filing

View this 6-K filing on SEC EDGAR