NASDAQ Grants Kaival Extension

The NASDAQ Stock Market has granted Kaival Brands an additional 180 days to regain compliance with NASDAQ’s $1 minimum bid price rule requirement under NASDAQ Listing Rule 5550(a)(2) (the Bid Price Rule), following the expiration of the initial 180-day period to regain compliance on July 31, 2023, according to GlobeNewswire.

NASDAQ’s action follows the submission by Kaival Brands to NASDAQ of a plan for regaining compliance with the Bid Price Rule.

As a result of the extension, Kaival Brands now has until Jan. 29, 2024, to regain compliance with the $1.00 minimum bid price rule requirement. If at any time before Jan. 29, 2024, the bid price of Kaival Brands’ common stock closes at or above $1 per share for a minimum of 10 consecutive business days, NASDAQ will provide written notification to Kaival Brands that it has achieved compliance with the bid price requirement. If Kaival Brands chooses to implement a reverse stock split to regain compliance with the Bid Price Rule, it must complete the reverse split no later than 10 business days prior to the expiration of the additional 180-calendar-day period in order to timely regain compliance.

If Kaival Brands does not regain compliance with the bid price requirement by Jan. 29, 2024, NASDAQ will provide written notification to Kaival Brands that its common stock will be subject to delisting. At such time, Kaival Brands may appeal the delisting determination to a NASDAQ Hearings Panel. There can be no assurance that if Kaival Brands does appeal a subsequent delisting determination, such appeal would be successful. Kaival Brands’ common stock would remain listed pending the panel’s decision.

The current notification from NASDAQ has no immediate effect on the listing or trading of Kaival Brands’ common stock, which will continue to trade on the NASDAQ Capital Market under the symbol “KAVL.”