Leading education company in China,OneSmart International Education Group (NYSE:ONE), on August 4, 2021, announced receiving a letter from the New York Stock Exchange dated August 3, 2021, notifying OneSmart is below compliance criteria relating to the performance of the trading price of OneSmart’s American depositary shares.
The firm will be considered to be under compliance criteria in case the average closing price of shares is below US$1.00 over a consecutive 30 trading-day period. Once confirmed, the firm needs to ensure its share price as well as average share price above US$1.00 by six months after the notification.
OneSmart will be able to regain compliance any time during the six-month cure period provided on the last trading day of a calendar month has a closing share price of US$1.00 as well as an average closing share price of US$1.00 over the 30 trading-day periods.
In the event of expiration of the six-month cure period, both part US$1.00 closing share price on the ultimate trading day as well as $1.00 average closing share price over 30 trading-day periods on last day doesn’t happen, the New York Stock Exchange will start suspension as well as delisting process for the firm.
The firm will be monitoring the market conditions of listed entities and is considering options.
ONE stock is up by 68% to $0.86 in the morning session on Wednesday. The stock has fallen 24% in the past month and 77% year-to-date.