CN Energy receives noncompliance letter from Nasdaq, intends to appeal

CN Energy announced that it received a letter from the Listing Qualifications Department of Nasdaq on December 29. This letter stated that, because the company’s securities had a closing bid price of 10c or less for ten consecutive trading days as of the letter date, unless the company timely requested a hearing before a hearings panel to appeal Nasdaq’s delisting determination, trading of the company’s securities will be suspended at the opening of business on January 9 and a Form 25-NSE will be filed with the U.S. Securities and Exchange commission to remove the company’s securities from listing and registration on Nasdaq, according to listing rule 5810. As previously disclosed, the company received a deficiency letter from the Staff on January 13, 2023, indicating non-compliance with the minimum bid price requirement under Nasdaq Listing Rule 5450 for continued listing on Nasdaq. On July 13, 2023, Nasdaq granted the company an additional 180-day period, ending on January 8, 2024, to regain compliance with the Bid Price Rule. On January 5, the company submitted a request for a hearing before the Panel to appeal the Staff’s determination pursuant to the procedures set forth in the Nasdaq Listing Rules, and such hearing request will stay the suspension of the trading of the company’s securities and the filing of the Form 25-NSE pending the panel’s decision. There can be no assurance as to the success or outcome of the appeal.