Nasdaq sent Fangdd Network Group (DUO, Financial) a China-based property technology company, a notice to inform it no longer complies with the exchange's minimum bid price requirement. The stock has been below the $1 mark for 30 business days in a row, from Nov. 11 through Dec. 23, 2024. Fangdd's shares had plummeted, falling about 77 percent in the last six months, to $0.72 after trading as high as $4.67 in early November.
Nasdaq notification received on Dec. 24 puts Fangdd on a 180-day180-day grace period expiring Jun. 23, 2025, to restore compliance. To meet the requirement, expenditures on shares must close at or above $1 for ten or more continuous business days in that period. If it can't do this, Fangdd may still qualify for a further 180-day extension provided it meets all other listing standards, excluding the minimum bid price.
Fangdd, a pioneer in digital real estate transaction services, is witnessing innovation powered by mobile internet and big data backed by AI despite its financial struggle. The Company's InvestingPro rating of 1.37, categorized as ‘Weak,' is its financial health concern. However, Fangdd states that it will remedy the listing deficiency and is looking into ways to bring the Company back into compliance.
The regulatory notice doesn't affect Fangdd's current trading in its shares, but the Chinese firm has to act quickly not to face potential delisting from Nasdaq.
