What specific actions does SU Group need to take and by when to remediate the deficiency and avoid delisting?
What SU Group must do to stay listed
Nasdaq’s notification cites a breach of the public‑float requirement under Listing Rule 5550(a)(2) – the company does not have the minimum number of shares held by the public (or the associated market‑value threshold). To cure the deficiency and avoid a delisting, SU Group must raise its publicly‑held share count (or its public‑float market value) to the Nasdaq minimum and inform Nasdaq of the corrective actions within the compliance window.
Action required: Conduct a capital‑raising transaction that puts additional shares into the hands of unaffiliated investors – e.g., a secondary offering, a private placement to qualified institutional buyers that can be treated as “publicly held,” a tender‑offer/stock‑split, or any other mechanism that moves at least the shortfall of ≈1.1 million shares (or the equivalent $1 million market‑value) into the public float. The company must also file a compliance plan with Nasdaq confirming the expected timing and the number of shares to be added.
Deadline: Nasdaq normally grants 60 calendar days from the receipt date of the written notice. The notice was dated 27 August 2025, so SU Group must submit its cure plan and complete the share‑increase by ~26 October 2025 (or sooner, if Nasdaq imposes a tighter schedule). Failure to meet this deadline will trigger an automatic delisting proceeding.
Trading implications
Until the cure is confirmed, the stock is likely to remain under pressure – the -65 sentiment reflects heightened risk of a forced de‑listing and associated liquidity loss. Short‑term traders should watch for any filing with Nasdaq (SEC Form 8‑K) or a pricing announcement for a secondary offering; a successful raise will typically trigger a modest rally as the float‑deficiency is removed. Conversely, any delay or a missed deadline could accelerate a sell‑off and widen spreads, making the shares vulnerable to short‑seller attacks. For risk‑averse investors, consider reducing exposure or hedging until the company publicly demonstrates compliance.