Sotherly Hotels Faces Delisting Concerns

TL;DR

SOHO might be getting delisted, watch out.

AI Summary

Sotherly Hotels Inc. and Sotherly Hotels LP filed an 8-K on February 14, 2025, to report a notice of delisting or failure to satisfy a continued listing rule or standard. The filing indicates a potential transfer of listing, though specific details regarding the reasons or the new listing venue are not provided in this excerpt.

Why It Matters

This filing signals potential instability in the company's stock exchange listing, which could impact investor confidence and liquidity.

Risk Assessment

Risk Level: high — A notice of delisting or failure to meet listing standards poses a significant risk to the company's market presence and investor accessibility.

Key Players & Entities

• Sotherly Hotels Inc. (company) — Filer
• Sotherly Hotels LP (company) — Filer
• February 14, 2025 (date) — Filing Date
• October 31, 2024 (date) — Period of Report

FAQ

Key Financial Figures

• $0.01 — nge on which registered Common Stock, $0.01 par value SOHO The Nasdaq Stock Mar
• $1.00 b — common stock has been below the minimum $1.00 bid price per share requirement for conti
• $1.00 — of the Company's common stock closes at $1.00 per share or more for a minimum of 10 c

Filing Documents

• soho-20241031.htm (8-K) — 73KB
• 0000950170-25-021124.txt ( ) — 261KB
• soho-20241031.xsd (EX-101.SCH) — 63KB
• soho-20241031_htm.xml (XML) — 12KB

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 February 11, 2025, Sotherly Hotels Inc. (the "Company") received a deficiency letter (the "Notice") from The Nasdaq Stock Market LLC ("Nasdaq"), notifying the Company that, for the last 30 consecutive business days, the closing bid price for the Company's common stock has been below the minimum $1.00 bid price per share requirement for continued listing on The Nasdaq Global Market pursuant to Listing Rule 5450(a)(1) (the "Minimum Bid Price Requirement"). The Notice has no immediate effect on the listing of the Company's common stock, and its common stock will continue to trade on The Nasdaq Global Market under the symbol "SOHO." In accordance with Listing Rule 5810(c)(3)(A), the Company has been given 180 calendar days, or until August 11, 2025, to regain compliance with the Minimum Bid Price Requirement. If at any time before August 11, 2025, the bid price of the Company's common stock closes at $1.00 per share or more for a minimum of 10 consecutive business days, Nasdaq will provide written notification to the Company that it has achieved compliance. If the Company does not regain compliance with the Minimum Bid Price Requirement by August 11, 2025, the Company may be eligible for an additional 180 calendar day period to regain compliance. To qualify, the Company would be required to transfer to The Nasdaq Capital Market and meet the continued listing and all other applicable requirements for initial listing on The Nasdaq Capital Market, except for the minimum bid price requirement. In addition, the Company would be required to notify Nasdaq of its intent to cure the deficiency during the second compliance period. If Nasdaq concludes that the Company will not be able to cure the deficiency, or if the Company does not regain compliance with the minimum bid price requirement within such additional 180 calendar day compliance period, Nasdaq will pr

Forward-Looking Statements

Forward-Looking Statements This Current Report on Form 8-K contains forward-looking statements which can be identified by words such as: "may," "will," "intend," "plan," "continue" and similar references to future periods. All statements, other than statements of historical fact, may be forward-looking statements. They are based on current expectations and projections about future events and are therefore subject to risks and uncertainties, which could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Therefore, you should not rely on any of these forward-looking statements. Except as required by law, the Company does not assume any obligation to update the forward-looking information contained in this Current Report on Form 8-K.

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrants have duly caused this report to be signed on their behalf by the undersigned hereunto duly authorized. Date: February 14, 2025 SOTHERLY HOTELS INC. By: /s/ Anthony E. Domalski Anthony E. Domalski Chief Financial Officer SOTHERLY HOTELS LP by its General Partner, SOTHERLY HOTELS INC. By: /s/ Anthony E. Domalski Anthony E. Domalski Chief Financial Officer

View Full Filing

View this 8-K filing on SEC EDGAR