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FutureTech II Acquisition Corp., a Delaware-based company specializing in biological products with a market capitalization of $59.58 million, has been notified of a potential delisting from the Nasdaq Stock Market. The notice, issued on February 19, 2025, states that the company failed to meet the Nasdaq’s requirement for completing a business combination within 36 months of its initial public offering (IPO), which took effect on February 14, 2022.
As a result of not fulfilling this condition, set forth in Nasdaq Interpretive Material IM-5101-2, FutureTech II’s securities are at risk of being removed from the exchange. According to InvestingPro data, the company’s financial health score is rated as FAIR, with concerning liquidity metrics showing short-term obligations exceeding liquid assets. The company has indicated it will not appeal the determination, and trading of its securities on Nasdaq is expected to be suspended at the start of business on February 26, 2025. A Form 25-NSE will be filed with the Securities and Exchange Commission (SEC), officially delisting the company from Nasdaq.
Following the suspension, FutureTech II anticipates that its securities, currently trading at $11.01 and showing a year-to-date decline of 7.56%, will begin trading on the over-the-counter market around the same date. InvestingPro analysis suggests the stock is currently trading below its Fair Value, despite its high P/E ratio of 138.3x. The company also disclosed in a recent SEC filing that it plans to apply for the combined company’s securities to be listed on Nasdaq post-merger.
This development reflects the strict compliance standards set by Nasdaq for listed entities, particularly special purpose acquisition companies (SPACs) like FutureTech II. The requirement to complete a business combination within a set timeframe is designed to ensure that such companies progress towards their stated business objectives in a timely manner. Discover more detailed insights and 6 additional key ProTips for FutureTech II with InvestingPro.
Investors should note that forward-looking statements regarding FutureTech II’s future trading on the over-the-counter market and the listing intentions for the combined company’s securities are based on current management beliefs and subject to various risks and uncertainties.
This report is based on a press release statement and provides an overview of the factual circumstances surrounding FutureTech II’s notice of delisting from Nasdaq.
In other recent news, FutureTech II Acquisition Corp. has successfully regained compliance with Nasdaq’s listing rules, ensuring the company’s continued trading on the Nasdaq Stock Market. This resolution of previous deficiencies was confirmed in a recent SEC filing, providing reassurance to investors about FutureTech II’s adherence to regulatory standards. Additionally, FutureTech II has entered into a significant agreement with Longevity Biomedical Inc. and D. Boral (OTC:BOALY) Capital LLC to restructure its IPO-related debt. The new arrangement involves a combination of cash, a promissory note, and equity, contingent upon the successful completion of a business combination with Longevity.
In another development, FutureTech II finalized a subscription agreement with investor Yuantian Zhang, involving the purchase of 1,000,000 shares as part of its financing strategy for the upcoming merger with Longevity Biomedical. The transaction is contingent upon the merger’s completion, with escrow conditions in place to secure additional shares. Furthermore, FutureTech II acknowledged an overpayment error in stockholder redemption, working to rectify the situation by notifying affected stockholders to return the excess amount. Lastly, the company had faced a potential Nasdaq delisting due to a late filing of its quarterly report but received a conditional extension to remain listed, provided it meets the new filing deadline.
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