T Stamp Inc. Faces Nasdaq Delisting Warning

TL;DR

Nasdaq says T Stamp's stock price is too low, giving them until Nov 26 to fix it or get booted.

AI Summary

T Stamp Inc. announced on May 30, 2024, that it received a notice from Nasdaq on May 29, 2024, indicating non-compliance with listing rules due to failing to meet the minimum bid price requirement. The company has 180 days, until November 26, 2024, to regain compliance by achieving a minimum closing bid price of $1.00 per share for at least 10 consecutive business days.

Why It Matters

This notice signals potential delisting from Nasdaq, which could negatively impact the company's 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 within the specified timeframe.

Key Numbers

• $1.00 — Minimum Bid Price (Required to regain Nasdaq compliance)
• 180 days — Compliance Period (Timeframe to meet bid price requirement)
• November 26, 2024 — Compliance Deadline (Latest date to meet bid price requirement)

Key Players & Entities

• T Stamp Inc. (company) — Registrant
• Nasdaq (company) — Listing Exchange
• May 30, 2024 (date) — Date of Report
• May 29, 2024 (date) — Date of Nasdaq Notice
• November 26, 2024 (date) — Compliance Deadline
• $1.00 (dollar_amount) — Minimum Bid Price Requirement

FAQ

Key Financial Figures

• $0.01 — which registered Class A Common Stock, $0.01 par value per share IDAI The NASDAQ Sto
• $2,500,000 — intain stockholders' equity of at least $2,500,000 (the "Stockholders' Equity Requirement"
• $1,543,391 — , 2024 reported stockholders' equity of $1,543,391, which is below the Stockholders' Equit
• $35 m — a market value of listed securities of $35 million, or net income from continued ope
• $500,000 — net income from continued operations of $500,000 in the most recently completed fiscal y

Filing Documents

• idai-20240530.htm (8-K) — 27KB
• 0001718939-24-000108.txt ( ) — 156KB
• idai-20240530.xsd (EX-101.SCH) — 2KB
• idai-20240530_lab.xml (EX-101.LAB) — 23KB
• idai-20240530_pre.xml (EX-101.PRE) — 13KB
• idai-20240530_htm.xml (XML) — 3KB

01. Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing

Item 3.01. Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing. On May 30, 2024, T Stamp Inc. (the "Company") received a deficiency letter from the staff of the Listing Qualifications Department (the "Staff") of the Nasdaq Stock Market ("Nasdaq") notifying the Company that it is not in compliance with the minimum stockholders' equity requirement for continued listing on the Nasdaq Capital Market. Nasdaq Listing Rule 5550(b)(1) requires companies listed on the Nasdaq Capital Market to maintain stockholders' equity of at least $2,500,000 (the "Stockholders' Equity Requirement"). The Company's Quarterly Report on Form 10-Q for the period ended March 31, 2024 reported stockholders' equity of $1,543,391, which is below the Stockholders' Equity Requirement for continued listing on the Nasdaq Capital Market. As of the date of this Current Report on Form 8-K, the Company does not have a market value of listed securities of $35 million, or net income from continued operations of $500,000 in the most recently completed fiscal year or in two of the last three most recently completed fiscal years, which means that the Company does not currently meet the alternative quantitative standards for continued listing on the Nasdaq Capital Market. The notification received has no immediate effect on the Company's continued listing on the Nasdaq Capital Market, subject to the Company's compliance with the other continued listing requirements. In accordance with Nasdaq rules, the Company has been provided 45 calendar days, or until July 15, 2024, to submit a plan to regain compliance (the "Compliance Plan") with the listing rules for the Nasdaq Capital Market. If the Compliance Plan is acceptable to the Staff, they may grant an extension of 180 calendar days from the date of the Staff's letter to regain compliance with the Stockholders' Equity Requirement. If the Staff does not accept the Compliance Plan, the Staff will provide written no

Forward-Looking Statements

Forward-Looking Statements Certain information contained in this Current Report on Form 8-K includes "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. We may in some cases use terms such as "predicts," "believes," "potential," "continue," "anticipates," "estimates," "expects," "plans," "intends," "may," "could," "might," "likely," "will," "should" or other words that convey the uncertainty of the future events or outcomes to identify these forward-looking statements. Our forward-looking statements are based on the current beliefs and expectations of our management team that involve risks, potential changes in circumstances, assumptions, and uncertainties, including statements regarding compliance with Nasdaq rules, and our financial condition, growth, and strategies. Any or all of the forward-looking statements may turn out to be wrong or be affected by inaccurate assumptions we might make or by known or unknown risks and uncertainties. These forward-looking statements are subject to risks and uncertainties including risks related to our ability to regain compliance with Nasdaq's continued listing requirements or otherwise maintain compliance with any other listing requirement of the Nasdaq Capital Market, the potential delisting of our shares on the Nasdaq Capital Market, and the other risks set forth in our filings with the U.S. Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2022 and our Quarterly Reports on Form 10-Q. For all these reasons, actual results and developments could be materially different from those expressed in or implied by our forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements, which are made only as of the date of this Current Report on Form 8-K. We undertake no obligation to publicly update such forward-

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