Token Cat Ltd. has addressed a regulatory issue with the Nasdaq Stock Market regarding its non-compliance with the minimum stockholders' equity requirement. Initially notified of the deficiency on January 16, 2025, due to a stockholder's deficit of $787,000, the company was given 45 days to submit a compliance plan. On March 3, 2025, Token Cat Ltd. outlined its plan to sell over 7 billion Class A ordinary shares, raising approximately $23 million. The offering was completed on June 27, 2025, and the company now believes it has regained compliance with the required $2.5 million in stockholders' equity. Nasdaq will monitor ongoing compliance, with potential delisting if the company fails to demonstrate compliance in its interim financial statements for the period ending June 30, 2025.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.