BEIJING, June 29, 2021 /PRNewswire/ -- China Finance
Online Co. Limited ("China Finance Online", or the "Company", "we",
"us" or "our") (NASDAQ GS: JRJC), a leading web-based financial
services company that provides Chinese individual investors with
fintech-powered online access to securities trading services,
wealth management products, securities investment advisory
services, as well as financial database and analytics services to
institutional customers, today announced that it has received
a notice from the Nasdaq Stock Market LLC ("Nasdaq") stating that
as reported in the Company's annual report on Form 20-F for the
year ending December 31, 2020, the
Company is no longer in compliance with the $10 million minimum stockholders' equity
requirement for continued listing on the Nasdaq Global Select
Market under Nasdaq Listing Rule 5450(b)(1)(A). Further, the
Company did not meet the continued listing requirements under
alternative standards relating to the market value of listed
securities or the total assets or total revenue of the
Company. As of December 31,
2020, the Company's shareholders' equity was approximately
$4.6 million. This notification has
no immediate effect on the Company's listing or on the trading of
the Company's ADSs.
As provided in the Nasdaq Listing Rules, the Company has until
July 9, 2021 to submit a plan to
regain compliance with Nasdaq's continued listing requirements. If
such plan is accepted, which there can be no assurance, Nasdaq may
grant the Company up to 180 days from May
25, 2021 to evidence compliance. If Nasdaq determines that
the Company's plan is not sufficient to achieve and sustain
compliance, it will provide written notice to the Company that its
securities will be subject to delisting. At that time, the Company
may appeal the delisting determination to a Nasdaq Hearings Panel
("Panel"). The Company would remain listed pending the Panel's
decision.
The Company intends to submit a plan to Nasdaq on or before
July 9, 2021 to regain compliance.
This announcement is made in compliance with Nasdaq Listing Rule
5810(b), which requires prompt disclosure of receipt of a delisting
notification.
About China Finance Online
China Finance Online Co. Limited is a leading web-based
financial services company that provides Chinese individual
investors with fintech-powered online access to securities trading
services, wealth management products, securities investment
advisory services, as well as financial database and analytics
services to institutional customers. The Company's prominent
flagship portal site, www.jrj.com, is ranked among the top
financial websites in China.
In addition to the web-based securities trading platform, the
Company offers basic financial software, information services and
securities investment advisory services to retail investors in
China. Through its subsidiary, Shenzhen Genius Information
Technology Co. Ltd., the Company provides financial database and
analytics to institutional customers including domestic financial,
research, academic and regulatory institutions. China Finance
Online also provides brokerage services in Hong Kong.
Safe Harbor Statement
This press release contains forward-looking statements which
constitute "forward-looking" statements within the meaning of
Section 21E of the Securities Exchange Act of 1934, as amended, and
as defined in the U.S. Private Securities Litigation Reform Act of
1995. The statements contained herein reflect management's
current views with respect to future events and financial
performance. These forward-looking statements are subject to
certain risks and uncertainties that could cause the actual results
to differ materially from those in the forward-looking statements,
all of which are difficult to predict and many of which are beyond
the control of the Company. These forward-looking statements
can be identified by terminology such as "will," "expects,"
"anticipates," "future," "intends," "plans," "believes,"
"estimates" and similar statements. Among other things, this
release contains the following forward-looking statements
regarding:
- liquidity and sources of funding, including our ability to
continue operating as a going concern;
- our prospect and our ability to attract new users;
- our prospect on building a comprehensive wealth management
ecosystem through providing a fully-integrated online communication
and securities-trading platform;
- our prospect on stabilization in cash attrition and improvement
of our financial position;
- our initiatives to address customers' demand for intuitive
online investment platforms and alternative investment
opportunities; and
- the market prospect of the business of securities-trading,
securities investment advisory and wealth management.
Such statements involve certain risks and uncertainties that
could cause actual results to differ materially from those in the
forward-looking statements, which risk factors and uncertainties
include, amongst others, substantial doubt about ability to
continue as a going concern, the outbreak of COVID-19 or other
health epidemics in China or
globally, changing customer needs, regulatory environment and
market conditions that we are subject to; the uneven condition of
the world and Chinese economies that could lead to volatility in
the equity markets and affect our operating results in the coming
quarters; the impact of the changing conditions of the mainland
Chinese stock market, Hong Kong
stock market and global financial markets on our future
performance; the unpredictability of our strategic transformation
and growth of new businesses; the prospect of our margin-related
business and the degree to which our implementation of margin
account screening and ongoing monitoring will yield successful
outcomes; the degree to which our strategic collaborations with
partners will yield successful outcomes; the prospects for
China's high-net-worth and
middle-class households; the prospects of equipping our customer
specialists with new technology, tools and financial knowledge;
wavering investor confidence that could impact our business; and
possible non-cash goodwill, intangible assets and investment
impairments may adversely affect our net income. Furthermore,
we have recurring losses from operation and inability to generate
sufficient cash flow to meet our obligation and sustain our
operations and face uncertainty as to the operation impact of the
COVID-19 outbreak, that raise substantial doubt about our ability
to continue as a going concern. Further information regarding
these and other risks is included in the Company's filings with the
U.S. Securities and Exchange Commission, including its annual
report on Form 20-F under "Forward-Looking Information" and "Risk
Factors". The Company does not undertake any obligation to
update any forward-looking statement as a result of new
information, future events or otherwise, except as required under
applicable law.
For more information, please
contact:
China Finance Online
+86-10-8336-3100
ir@jrj.com
Kevin
Theiss
Awaken Advisors
(212) 521-4050
kevin@awakenlab.com
View original
content:https://www.prnewswire.com/news-releases/china-finance-online-announces-receipt-of-nasdaq-deficiency-notice-301321667.html
SOURCE China Finance Online Co., Ltd.
