CL Workshop Group Limited Faces Nasdaq Bid Deficiency After 30 Days Below $1 ADS
CL Workshop Group Limited received a Nasdaq notice after its ADS closing bid stayed below US$1 for 30 consecutive business days from March 24 to May 5. The company has 180 days until November 2, 2026 to restore ADS closing bids at or above US$1 for ten consecutive days.
1. Nasdaq Notice Details
On May 6, CL Workshop Group Limited received a notification from Nasdaq’s Listing Qualifications Department indicating its ADS closing bid price fell below US$1 for 30 consecutive business days from March 24 through May 5, violating Listing Rule 5550(a)(2). The notice confirms non-compliance but imposes no immediate trading suspension.
2. Compliance Timeline and Requirements
Under Nasdaq Listing Rule 5810(c)(3)(A), the company has 180 calendar days, until November 2, 2026, to regain compliance by achieving a US$1 ADS closing bid for ten consecutive business days. If compliance is restored earlier, Nasdaq will issue written confirmation and close the deficiency; failure may trigger a second 180-day extension.
3. Potential Remedial Actions
To meet the bid price requirement, the company may execute a reverse share split or adjust the ratio of Class A ordinary shares to ADSs, provided any such action is completed at least ten business days before the end of the compliance or extended period. Management is evaluating these and other strategic options.
4. Trading Status and Business Focus
Despite the notice, CL Workshop’s ADSs continue trading uninterrupted on Nasdaq under the ticker NWGL. The global forestry company remains focused on its timber and wood products operations, offering logs, decking, flooring and sawn timber through its worldwide sales network.