ATIF Holdings Limited (NASDAQ:ATIF), a $15.6 million market cap management consulting services provider, announced significant changes to its leadership team and reported regaining compliance with Nasdaq's minimum bid price requirement, according to a recent 8-K filing with the Securities and Exchange Commission.
On Tuesday, the company revealed the immediate resignations of Jun Liu, the Chief Executive Officer, director, and Chairman of the Board, and Kwong Sang Liu, an independent director and member of several board committees. Neither departure was due to disagreements with the company's operations, policies, or practices.
Simultaneously, ATIF Holdings appointed Dr. Kamran Khan as the new Chief Executive Officer and Zhelun Zhou as an independent director and member of various board committees. Dr. Khan, previously a chief technology officer and AI researcher, will receive a monthly salary of $10,000. Zhou, with past experience as an assistant controller and auditor, will receive a monthly compensation of $5,000. According to InvestingPro data, these leadership changes come as the company faces challenges with profitability, reporting negative EBITDA of $1.72 million in the last twelve months.
The company also informed that on January 15, it received a letter from Nasdaq confirming that it had regained compliance with the minimum bid price requirement. This followed a period from December 30, 2024, to January 14, 2025, during which the company's common stock consistently closed at $1.00 or above. InvestingPro analysis shows the stock has demonstrated strong momentum, with an impressive 81% return over the past six months. Subscribers can access 12 additional ProTips and detailed financial metrics to better understand ATIF's market position.
ATIF Holdings' compliance with Nasdaq Listing Rule 5550(a)(2) was a critical achievement, considering the previous notice from Nasdaq on November 26, 2024, warning of the stock's failure to meet the minimum bid price. The company had until May 27, 2025, to address the issue, which it successfully resolved ahead of the deadline.
In other recent news, ATIF Holdings, a management consulting services provider, faced a potential delisting from the Nasdaq Capital Market due to non-compliance with the minimum bid price requirement. However, the company has successfully regained compliance, as confirmed by an 8-K filing with the U.S. Securities and Exchange Commission. This development followed a notice from Nasdaq that ATIF Holdings' common stock did not maintain the minimum bid price of $1 per share for 30 consecutive business days.
ATIF Holdings was given a 180-day grace period to rectify the situation, which it has now successfully done, ensuring its continued trading on the Nasdaq Capital Market without the risk of delisting. The management had been evaluating various strategies to address the issue and regain compliance.
In other developments, the Lake Forest, California-based company underwent a name change from Asia Times Holdings Ltd since October 3, 2018. As an emerging growth company, ATIF Holdings can adhere to reduced public company reporting requirements.
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