Nature's Miracle Holding Inc., a company specializing in farm machinery and equipment currently trading at $1.53, is set to be delisted from The Nasdaq Stock Market LLC due to non-compliance with the exchange's minimum shareholders' equity rule. The company's financial struggles are evident in its negative EBITDA of $8.1 million and weak overall financial health score, according to InvestingPro analysis. The Nasdaq Hearings Panel has decided to suspend trading of the company's securities starting Wednesday, following the company's failure to meet the Listing Rule 5550(b)(1) requirement.
The delisting notice was received by Nature's Miracle on Monday, and trading of its securities will be halted at the market open on Wednesday. The company, which is listed under the ticker NMHI and has seen its stock plummet 99.66% over the past year, has a 15-day window from the receipt of the notice to request a review of the Panel's decision by the Nasdaq Listing and Hearing Review Council.
Alternatively, the Council may opt to review the decision on its own within 45 days from the notification date. Get deeper insights into company performance metrics and financial health indicators with InvestingPro.
In anticipation of the suspension on Nasdaq, Nature's Miracle expects its common stock to be quoted on the OTC Pink Market under the same ticker symbol following the delisting. With a concerning current ratio of 0.41 and annual revenue of just $9.99 million, the company's transition comes amid significant financial challenges. The OTC Pink Market is a trading platform for a wide spectrum of equity securities without the requirement for filing with the Securities and Exchange Commission.
In other recent news, Nature's Miracle Holding Inc. has secured a $29.7 million financing deal involving the sale of a new class of convertible preferred stock to an institutional investor.
Simultaneously, the agriculture technology firm disclosed a private placement agreement that could potentially raise an additional $3 million. The company also took a high-interest loan of $311,000 from Maximcash Solutions LLC, providing company stock as collateral.
Nature's Miracle has made strategic moves into the Bitcoin mining industry by acquiring a majority stake in J&Y Marigold Ltd., establishing a new subsidiary, NM Data Inc., for Bitcoin mining operations. In collaboration with Future Tech Incorporated, the company is constructing a new data center and vertical farming facility.
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