DIH Holding US faces Nasdaq delisting review after continued non-compliance

DIH Holding US, Inc. (NASDAQ:DHAI), currently trading at $0.22 and down over 85% year-to-date according to InvestingPro data, announced Wednesday that it has received formal notification from the Nasdaq Stock Market LLC regarding additional bases for the potential delisting of its securities. The notice, dated Tuesday, states that the Nasdaq Hearings Panel will consider the company’s continued listing status following several unresolved deficiencies.

According to the company’s statement, DIH Holding US was previously notified on April 4 by Nasdaq staff that its market value of publicly held shares had fallen below the $15 million minimum required under Listing Rule 5450(b)(2)(C) for 30 consecutive trading days. The company was given 180 calendar days, until October 1, to regain compliance but did not do so. This shortfall is now an additional basis for delisting.

Earlier in the year, on March 5, the company received notice that its market value of listed securities had dropped below the $50 million threshold required under Listing Rule 5450(b)(2)(A). DIH Holding US did not regain compliance by the September 1 deadline, and was informed on September 2 that its securities were subject to delisting unless a hearing was requested.

Additionally, on March 11, DIH Holding US was notified that its Class A common stock had closed below $1.00 per share for 30 consecutive business days, violating the bid price requirement under the same rule. The company did not meet the September 8 deadline to resolve this issue, resulting in further notification from Nasdaq on September 12.

DIH Holding US has requested a hearing before the Nasdaq Hearings Panel, which has temporarily stayed the suspension of its common stock for 15 days. The company also requested an extended stay pending the hearing, citing non-compliance with reporting requirements due to unfiled quarterly and annual reports for periods ended June 30 and March 31, 2025. Despite these challenges, InvestingPro data shows the company maintains annual revenue of $69.57 million, though its overall financial health score stands at 2.53, indicating significant room for improvement.

At the upcoming hearing, DIH Holding US plans to present its strategy to regain compliance with all applicable listing criteria and may request additional time. The Panel has the authority to grant extensions of up to 180 days for certain deficiencies and up to 360 days for reporting delinquencies. The company stated that there is no assurance the Panel will grant continued listing or that compliance will be achieved within any extended timeframe.

This information is based on a press release statement included in the company’s SEC filing.

In other recent news, DIH Holding US, Inc. has faced significant challenges with Nasdaq compliance. The company received an additional delisting notice for not meeting the minimum bid price requirement, as its stock price remained below $1.00 for an extended period. In another compliance issue, DIH failed to meet the $50 million market value of listed securities threshold, prompting plans to appeal the decision. Despite these hurdles, the company has made several strategic appointments to its Board of Directors. Barrett Mooney, with a background in aerospace and defense, has joined the board, bringing valuable experience in growing manufacturing businesses. Additionally, healthcare finance expert Scott R. Burell has been appointed, leveraging his experience as CFO through significant acquisitions. Dennis Streppa has also joined the board, taking on the role of Audit Committee Chair, with a strong background in operations and M&A value creation. These appointments reflect DIH’s efforts to strengthen its leadership amid ongoing financial challenges.

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