SEOUL - Hanryu Holdings, Inc. (NASDAQ: HRYU), the media-tech company behind FANTOO, a social media platform for k-culture enthusiasts, has received a delinquency notice from Nasdaq. The notice, issued on May 21, 2024, indicates that Hanryu Holdings has not met the Nasdaq Listing Rule 5250(c)(1) due to its failure to file its quarterly and annual reports on time.
Specifically, the company has not submitted its Quarterly Report on Form 10-Q for the period that ended March 31, 2024, and remains overdue on filing its Form 10-K for the year ended December 31, 2023, with the Securities and Exchange Commission (SEC). According to the notice, Hanryu Holdings must submit a plan to regain compliance by June 17, 2024. Upon approval of the plan by Nasdaq, the company could receive an extension of up to 180 days, or until October 14, 2024, to file the necessary reports and comply with the listing requirements.
If the plan is not accepted, Hanryu Holdings has the right to appeal the decision before a Nasdaq Hearings Panel. The company has expressed its intention to comply with the Nasdaq's requirements within the given timeframe.
InvestingPro Insights
Amid the recent challenges faced by Hanryu Holdings, Inc. (NASDAQ: HRYU), including the delinquency notice from Nasdaq, investors are closely monitoring the company's financial health and market performance. To provide a deeper understanding of Hanryu Holdings' current situation, here are some insights based on real-time data and InvestingPro Tips:
InvestingPro data indicates that Hanryu Holdings has a market capitalization of 21.65 million USD, reflecting the company's size and market value as of the last twelve months ending Q3 2023. Despite the challenges, the company holds more cash than debt on its balance sheet, which may offer some financial flexibility in addressing its compliance issues with Nasdaq. However, the company is quickly burning through cash, which could be a concern for its ability to sustain operations and meet its financial obligations.
The stock has experienced significant price volatility and has fared poorly over the last month, with a 1-month price total return of -21.9%. This could be indicative of investor sentiment and the market's reaction to the company's reporting delays and other uncertainties. Moreover, Hanryu Holdings' stock has declined by -94.74% over the last year, which is a critical consideration for potential investors.
For those interested in exploring further, InvestingPro offers additional tips that can provide more nuanced insights into Hanryu Holdings' performance and prospects. Currently, there are 12 additional InvestingPro Tips available for Hanryu Holdings, including analysis on valuation multiples and the company's position within the industry. To access these valuable insights, visit InvestingPro and use the coupon code PRONEWS24 for an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
Understanding the intricate details of Hanryu Holdings' financials and market behavior is crucial for stakeholders, especially in light of the company's efforts to regain compliance with Nasdaq's listing standards. The InvestingPro platform can serve as a resource for those seeking to make informed decisions based on comprehensive data and expert analysis.
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