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Meta Data faces NYSE delisting over low share price

Published 06/03/2024, 21:12
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HONG KONG - Meta (NASDAQ:META) Data Limited (NYSE: AIU), a company specializing in non-subject based tutoring, has been notified by the New York Stock Exchange (NYSE) that it is not in compliance with the exchange's minimum share price requirements. According to a letter dated March 4, 2024, Meta Data's American depositary shares (ADSs) have been trading below the required $1.00 average closing price over a consecutive 30 trading-day period.

NYSE rule 802.01C stipulates that a company's share price must be at least $1.00 on both the last trading day of any calendar month during a six-month cure period and also maintain an average closing share price of at least $1.00 over the 30 trading-day period ending on that day. Failure to meet these criteria by the end of the cure period will result in the NYSE initiating suspension and delisting procedures.

While this notice does not immediately affect the listing of Meta Data's ADSs, which will remain on the NYSE during the cure period, the company must address the issue to avoid delisting. The cure period provides Meta Data with the opportunity to regain compliance and maintain its listing on the exchange.

Meta Data, founded in 2008 and headquartered in Hong Kong, has been adapting its business model in response to China's "Double Reduction Policy," which restricts subject-based off-campus tutoring.

The company is shifting its focus to offering online education and tutoring services for students outside of China, as well as overseas education preparation and consulting for students within China. Additionally, Meta Data is developing a "Smart ID Card" for campuses and creating a smart training system that integrates virtual reality, artificial intelligence, and blockchain technologies.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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