FGI Industries receives Nasdaq compliance extension

Published 11/03/2025, 21:58
FGI Industries receives Nasdaq compliance extension

FGI Industries Ltd., a company specializing in heating equipment and plumbing fixtures with a market capitalization of $7.89 million, has been granted an additional 180 days to meet Nasdaq’s minimum bid price requirement and maintain its listing. The extension, announced on Monday, allows the company until September 1, 2025, to address the issue, potentially through a reverse stock split. According to InvestingPro data, FGI’s stock has declined 47% over the past year, currently trading at $0.81.

On September 6, 2024, Nasdaq notified FGI that its stock had closed below the required $1.00 per share for 30 consecutive business days, violating Nasdaq Listing Rule 5550(a)(2). The company was initially given 180 days to regain compliance. This extension is a result of FGI’s communicated plan to correct the deficiency within the new timeframe. InvestingPro analysis reveals concerning fundamentals, including significant debt burden and rapid cash burn, with multiple financial health indicators suggesting caution.

The notification of non-compliance and the extension have not affected the trading of FGI’s common stock on The Nasdaq Capital Market to date. To regain compliance, FGI’s common stock must have a closing bid price of at least $1.00 for a minimum of ten consecutive business days during the extension period. Despite trading at a low Price/Book ratio of 0.33, InvestingPro subscribers have access to over 10 additional key financial metrics and insights that could help evaluate the company’s prospects. Get the complete analysis with InvestingPro’s comprehensive research report.

If FGI fails to meet the compliance requirements by the end of the extended period, the company anticipates receiving a delisting notification from Nasdaq. However, FGI would have the opportunity to appeal the delisting decision, allowing its stock to remain listed during the appeal process.

While FGI intends to take necessary actions to regain compliance, there is no guarantee that the company will achieve this goal. The information in this article is based on a press release statement.

In other recent news, FGI Industries Ltd. has announced a significant change in its executive team. Perry Lin, the current Chief Financial Officer, will resign effective June 30, 2025, for personal reasons unrelated to any disagreements with the company’s operations or policies. The Board of Directors has appointed Jae Chung as the new CFO, effective July 1, 2025. Chung has been with FGI since April 2024, serving as Vice President of Investor Relations and Corporate Development, and has prior experience as Vice President at Oakmont Corporation. His compensation as CFO will include a $180,000 salary, along with participation in the company’s Management Incentive Plan and Equity Incentive Plan. The company plans to amend Chung’s current employment terms to reflect his new role. This leadership transition is part of FGI’s ongoing efforts to navigate the competitive heating and plumbing industry. The information about these executive changes was detailed in a recent SEC filing by FGI Industries.

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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