Swvl Holdings Corp (SWVL) (Nasdaq: SWVL), a global provider of transformative tech-enabled mass transit solutions, has reported that the Company received a letter (the “Letter”) from the Nasdaq Stock Market LLC (“Nasdaq”) indicating that the Company is currently not in compliance with Nasdaq Rule 5450(a)(1), as the Company’s closing bid price for its Class A ordinary shares (the “Ordinary Shares”) was below $1.00 per share for the last 30 consecutive business days.
Read also Egypt’s Swvl Announces $20 Million Private Placement
Here Is What You Need To Know
- The Company has 180 calendar days to return to compliance with the Nasdaq Stock Market Rules. The Letter states that the Company must resume compliance with the minimum bid price requirement by May 1, 2023. If at any time during this 180-day period the closing bid price of its Ordinary Shares is at least $1.00 for a minimum of ten consecutive business days, the Company will regain compliance; in that case, Nasdaq will issue a written confirmation of compliance to the Company, and the matter will be closed.
- The Nasdaq staff will inform the Company that its Ordinary Shares may be delisted if it fails not demonstrate compliance by the end of the 180-day window ending May 1, 2023.
- However, if the Company meets the continued listing requirement for the market value of its publicly held shares and all other initial listing standards for the Nasdaq Global Market, with the exception of the bid price requirement, it may then be eligible for additional time to regain compliance, of up to an additional 180 calendar days. The Company must additionally give additional written notification of its plan to correct the shortcoming during the second compliance period in order to be eligible.
- SWVL says the Company’s top focus continues to be Swvl’s continuous listing on Nasdaq. The company plans to look into all available measures to correct the deficiency and return to compliance with the minimum bid requirement within the compliance period, including perhaps sanctioning a reverse share split, should the situation not improve over the aforementioned term.
- The Company’s Ordinary Shares will continue to trade on the Nasdaq Global Market under the symbol “SWVL” for the duration of the aforementioned cure period, as may be extended, and the Letter from Nasdaq has no immediate impact on the Company’s Nasdaq listing or the trading of its Ordinary Shares on Nasdaq.
A Look At What SWVL Does
With intercity, intracity, B2B, and B2G transportation options available in more than 135 locations in more than 20 countries, Swvl is a leading global provider of innovative tech-enabled mass transit solutions. For those who cannot access or afford private services, the company’s network offers complementary semi-private transportation options in addition to public transportation. Swvl’s parallel mass transit systems enable people to travel whenever they want and anywhere they want, making mobility safer, more effective, and more accessible while also being more environmentally friendly. Customers can reserve their journeys using a user-friendly, proprietary app that offers a variety of payment methods and constant access to high-caliber private buses and vans.
Read also Naspers Denies Rumours of Selling Stake in Tencent
Mostafa Kandil, who started his career at Rocket Internet and created the auto sales platform Carmudi in the Philippines, co-founded Swvl. In just six months, Carmudi grew to be the top car classifieds company in the Philippines. He then held the position of Head of Operations at Rocket Internet. Kandil joined Careem in 2016, the first unicorn in the Middle East and a ride-sharing firm. He encouraged the platform’s development in numerous additional markets.
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based lawyer, who has several years of experience working in Africa’s burgeoning tech startup industry. He has closed multi-million dollar deals bordering on venture capital, private equity, intellectual property (trademark, patent or design, etc.), mergers and acquisitions, in countries such as in the Delaware, New York, UK, Singapore, British Virgin Islands, South Africa, Nigeria etc. He’s also a corporate governance and cross-border data privacy and tax expert.
As an award-winning writer and researcher, he is passionate about telling the African startup story, and is one of the continent’s pioneers in this regard. You can book a session and speak with him using the link: https://insightsbyexperts.com/view_expert/charles-rapulu-udoh