Agrify (AGFY) to be Delisted from Nasdaq Feb 8 for Bid Price Rule Breach

TL;DR

**AGFY is getting kicked off Nasdaq on Feb 8th for low stock price, expect less liquidity.**

AI Summary

Agrify Corp (AGFY) announced on January 30, 2024, that it received a delisting notice from The Nasdaq Stock Market LLC because its common stock failed to maintain a minimum bid price of $1.00 per share for 30 consecutive business days. This means Agrify's stock will be suspended from trading on Nasdaq at the opening of business on February 8, 2024, and will likely move to the OTC Markets. This is critical for investors because delisting often leads to decreased liquidity and investor confidence, making the stock harder to trade and potentially driving its price down further.

Why It Matters

Delisting from Nasdaq significantly reduces a stock's visibility and liquidity, making it less attractive to institutional investors and harder for current shareholders to sell their shares.

Risk Assessment

Risk Level: high — Delisting from a major exchange like Nasdaq is a severe event that typically leads to a significant drop in stock price and liquidity, posing high risk to investors.

Analyst Insight

A smart investor would consider the significant risks associated with delisted stocks, including reduced liquidity and potential further price depreciation, and evaluate their position in AGFY accordingly, potentially looking to exit before February 8, 2024.

Key Numbers

• $1.00 — Minimum Bid Price (The threshold Agrify's stock failed to maintain for continued Nasdaq listing.)
• 30 — Consecutive Business Days (The period over which Agrify's stock price remained below the minimum bid requirement.)

Key Players & Entities

• Agrify Corp (company) — registrant facing delisting
• The Nasdaq Stock Market LLC (company) — exchange delisting Agrify
• $1.00 (dollar_amount) — minimum bid price requirement
• AGFY (company) — trading symbol for Agrify Corp
• January 30, 2024 (date) — date of earliest event reported
• February 8, 2024 (date) — date of suspension from Nasdaq trading

Forward-Looking Statements

• Agrify's stock price will experience increased volatility and a likely decline due to reduced liquidity and investor confidence post-delisting. (AGFY) — high confidence, target: Q1 2024
• Agrify's common stock will begin trading on the OTC Markets following its suspension from Nasdaq. (AGFY) — high confidence, target: February 2024

FAQ

Key Financial Figures

• $0.001 — ch registered Common Stock, par value $0.001 per share AGFY The Nasdaq Stock Mar
• $2.5 million — listed companies maintain a minimum of $2.5 million in stockholders' equity. In response, t

Filing Documents

• ea192524-8k_agrifycorp.htm (8-K) — 27KB
• ea192524ex99-1_agrifycorp.htm (EX-99.1) — 9KB
• 0001213900-24-008117.txt ( ) — 208KB
• agfy-20240130.xsd (EX-101.SCH) — 3KB
• agfy-20240130_lab.xml (EX-101.LAB) — 33KB
• agfy-20240130_pre.xml (EX-101.PRE) — 22KB
• ea192524-8k_agrifycorp_htm.xml (XML) — 4KB

01 Notice of Delisting or Failure to Satisfy a Continued

Item 3.01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing. As previously disclosed in the Current Report on For 8-K filed by Agrify Corporation (the "Company") on December 6, 2023 , on December 1, 2023, the Company received a notice from The Nasdaq Stock Market LLC ("Nasdaq") stating that because the Company reported stockholders' equity of $(17.17) million in its Form 10-Q for the quarter ended March 30, 2023, the Company was no longer in compliance with Nasdaq Listing Rule 5550(b)(1) (the "Listing Rule"), which requires that listed companies maintain a minimum of $2.5 million in stockholders' equity. In response, the Company timely requested a hearing before a Nasdaq Hearings Panel (the "Panel"), which request stayed any further action by the Listing Qualifications Staff. The hearing was held on January 11, 2024. The Company arrived at the hearing having previously cured an additional grounds for delisting as a result of delinquent periodic filings during 2023 that were filed prior to the hearing. On January 30, 2024, the Company received formal notice that the Panel had granted the Company's request for an exception through April 15, 2024 to evidence compliance with the Listing Rule. The compliance date of April 15, 2024 represents the full extent of the Panel's discretion to grant continued listing while the Company is non-compliant with Nasdaq Listing Rules. Accordingly, there can be no assurance that the Company will be able to regain compliance with the Nasdaq listing rules or maintain its listing on the Nasdaq Capital Market. If the Company's common stock is delisted, it could be more difficult to buy or sell the Company's common stock or to obtain accurate quotations, and the price of the Company's common stock could suffer a material decline. Delisting could also impair the Company's ability to raise capital.

01 Other Events

Item 8.01 Other Events. On January 30, 2024, the Company issued a press release announcing that the Panel had granted the Company's request for an exception through April 15, 2024 to evidence compliance with the Listing Rule. A copy of this press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference. Exhibit 9.01 Financial Statements and Exhibits. (d) Exhibits. Exhibit No. Description 99.1 Press Release dated January 31, 2024 104 Cover Page Interactive Data File (embedded within the Inline XBRL document) 1

SIGNATURES

SIGNATURES 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 hereunto duly authorized. AGRIFY CORPORATION Date: January 31, 2024 By: /s/ Raymond Nobu Chang Raymond Nobu Chang Chief Executive Officer 2

View Full Filing

View this 8-K filing on SEC EDGAR