Color Star Technology Notified by Nasdaq of Bid Price Deficiency

NEW YORK, Nov. 16, 2023 - Color Star Technology Co., Ltd. ADD, an entertainment technology company specializing in the integration of technology and artificial intelligence in the entertainment sector, has received a notification letter from Nasdaq regarding a bid price deficiency. In compliance with Nasdaq Listing Rule 5550(a)(2), listed securities are required to maintain a minimum bid price of $1.00 per share, and ADD has been reported to be below this threshold.

Understanding the Nasdaq Notification

The Nasdaq notification indicates that ADD has not met the minimum bid price requirement over the last 30 consecutive business days. According to Nasdaq's rules, Color Star Technology will now be granted a compliance period of 180 calendar days to regain conformity with the minimum bid price criterion. During this grace period, ADD will remain listed and trade on the Nasdaq stock market.

Efforts to Regain Compliance

Color Star Technology is actively seeking ways to address the bid price deficiency to regain compliance with Nasdaq’s requirements. Possible measures could include a reverse stock split, which the company's shareholders might need to approve. The management at Color Star is considering all available options and is committed to implementing measures aimed at enhancing shareholder value and maintaining their Nasdaq listing.

Implications for Shareholders and Investors

Although the notification of bid price deficiency is a matter of concern, it does not immediately affect the listing status of ADD on Nasdaq. The company is taking this development seriously and plans to address the situation in the stipulated timeframe. Shareholders and potential investors in Color Star should monitor the company's progress and actions regarding the deficiency to make informed investment decisions.

Nasdaq, compliance, shareholders