Business Context and Reporting Period
This Form 6-K filing by Integrated Media Technology Ltd is dated June 23, 2020. The report addresses an "Other Event" concerning the company's compliance with Nasdaq listing requirements based on its financial position as of December 31, 2019.
Key Financial Metrics
The filing references the company's annual report on Form 20-F for the fiscal year ended December 31, 2019, which reported stockholders' equity of approximately US$55,322. This figure falls significantly below the Nasdaq minimum requirement of US$2,500,000. The filing text does not provide clear values for revenue, profit, cash flow, margins, debt, or liquidity beyond this equity figure.
Material Changes and Listing Status
On June 19, 2020, the company received a written notice from the Nasdaq Listing Qualifications Department stating that its stockholders' equity does not meet the continued listing requirement under Rule 5550(b)(1). This deficiency places the company's securities at risk of delisting from The Nasdaq Capital Market if compliance is not restored.
Outlook, Risks, and Management Commentary
- Compliance Timeline: The company has 45 days from the notice date to submit a plan to regain compliance. If accepted, it may be granted up to 180 calendar days to evidence compliance.
- Management Action: The company is currently evaluating available options to resolve the deficiency.
- Risks: There is no guarantee that the company's plan will be accepted by Nasdaq Staff or that it will successfully regain compliance. Failure to comply within the allotted period will result in written notification of delisting.
- Appeal Rights: The company retains the right to appeal any delisting determination to a Nasdaq Hearings Panel.
Investor Verification Checklist
- Verify the current status of the compliance plan submitted to Nasdaq (if any) and whether it has been accepted.
- Confirm whether the company has secured additional capital or equity to meet the US$2,500,000 stockholders' equity threshold.
- Monitor for any subsequent filings regarding the 180-day compliance period or potential delisting notifications.
- Review the full Form 20-F for the fiscal year ended December 31, 2019, to understand the broader financial context leading to the equity deficiency.