Mobile Global Esports receives non-compliance notice from Nasdaq

Mobile Global Esports has received a notification letter from the NASDAQ Stock Market LLC dated April 11, 2023, notifying the Company that it is not in compliance with the minimum bid price requirement as set forth under NASDAQ Listing Rule 5550(a)(2) for continued listing on the NASDAQ. This press release is issued pursuant to NASDAQ Listing Rule 5810(b), which requires prompt disclosure upon the receipt of a deficiency notification. NASDAQ Listing Rule 5550(a)(2) requires listed securities to maintain a minimum bid price of $1.00 per share, and Listing Rule 5810(c)(3)(A) provides that a failure to meet the minimum bid price requirement exists if the deficiency continues for a period of 31 consecutive business days. Based on the closing bid price of the Company’s ordinary shares for the 31 consecutive business days from February 24, 2023 to April 10, 2023, the Company did not meet the minimum bid price requirement. In accordance with the NASDAQ Listing Rule 5810(c)(3)(A), the Company has been provided 180 calendar days, or until October 9, 2023, to regain compliance with NASDAQ Listing Rule 5550(a)(2). To regain compliance, the Company’s ordinary shares must have a closing bid price of at least $1.00 for a minimum of 10 consecutive trading days. In the event that the Company does not regain compliance by October 9, 2023, the Company may be eligible for additional time to regain compliance or may face delisting. The receipt of the Notification Letter has no immediate effect on the listing of the Company’s common shares, which will continue to trade uninterrupted on NASDAQ under the ticker "MGAM." The Company intends to drive shareholder value through expansion of operations and offerings in the Indian esports market while continuing to vigilantly manage its resources to address the minimum share bid price requirement in due course.