Fed’s Powell opens door to potential rate cuts at Jackson Hole
HWH International Inc. (NASDAQ:HWH), a wholesale drug distribution company currently valued at $14.13 million, has disclosed transactions that are believed to have increased its stockholders' equity to over $2.5 million, potentially satisfying Nasdaq's Capital Market requirements.
According to InvestingPro data, the company's stock has experienced significant volatility, declining 94.85% year-to-date. The company, previously known as Alset Capital Acquisition Corp., is working to regain compliance following a delisting notice from Nasdaq due to non-compliance with certain market value requirements.
On November 25, 2024, HWH International entered into a stock purchase agreement with Alset Inc., its majority shareholder, resulting in the issuance of 4,411,764 new shares at $0.68 per share, enhancing stockholders' equity by $3 million.
A subsequent agreement on December 24, 2024, saw Alset Inc. purchase an additional 1,300,000 shares at $0.45 per share, contributing $585,000 to equity. The company's financial health score from InvestingPro indicates challenges, with an EBITDA of -$1.59 million in the last twelve months.
These strategic moves come after a Nasdaq hearing panel granted HWH International an extension until December 31, 2024, to meet the market value of publicly held shares and listed securities requirements, as well as the stockholders' equity requirement for The Nasdaq Capital Market. The company is now poised to notify Nasdaq of its compliance status for a determination on continued listing eligibility. InvestingPro subscribers can access 11 additional key insights about HWH's market performance and financial outlook.
The information is based on a press release statement and details from HWH International's latest Form 8-K filed with the SEC.
In other recent news, HWH International secured a $585,000 investment from Alset Inc., its majority shareholder. This move increased Alset's ownership from 88.8% to 90.1% of the issued shares. In another development, HWH International's joint venture, Hapi Travel, reported revenues exceeding $18 million in the first three quarters of 2024, marking a revenue growth of 44.55% over the last twelve months.
The company has also been taking strategic financial steps, converting $3,801,759 in debt into equity by issuing new shares to Alset International Limited and Alset Inc. However, despite these efforts, HWH International received a notice from the Nasdaq Hearings Panel for failing to meet the minimum market value and bid price requirements, risking potential delisting from the Nasdaq Global Market.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.