Alset Inc. Gets Nasdaq Notice Over Sub-$1 Bid Price

What happened

Alset Inc., a Texas-incorporated real estate company listed on the Nasdaq Capital Market under the ticker AEI, disclosed in an 8-K filed Oct. 30, 2026 that it received a notification letter from Nasdaq's Listing Qualifications Department dated Oct. 28, 2026.

The letter states that because the closing bid price of Alset's common stock was below $1.00 for 30 consecutive trading days, the company no longer meets Nasdaq's minimum bid price requirement for continued listing, Marketplace Rule 5550(a)(2).

Alset's stock closed at $0.51 on the event date, down 0.39% from the prior close of $0.512, according to the price data.

The company reported annual revenue of $4,470,875 for the period ending Dec. 31, 2025.

The compliance window

According to the filing, the notice has no immediate effect on the listing of Alset's common stock. Under Nasdaq Marketplace Rule 5810(c)(3)(A), the company has 180 calendar days from Oct. 28, 2026 — until April 26, 2027 — to regain compliance.

If the bid price closes at or above $1.00 per share for a minimum of 10 consecutive business days at any point before that date, Nasdaq will notify the company in writing that it has regained compliance.

The letter also disclosed that if Alset has not regained compliance by April 26, 2027, it may be eligible for a second 180-day period. To qualify, the company would have to meet the continued listing requirement for market value of publicly held shares and all other initial listing standards for the Nasdaq Capital Market, apart from the bid price rule, and would need to give written notice of its intent to cure the deficiency, by effecting a reverse stock split if necessary.

If Nasdaq's staff concludes the company will not be able to cure the deficiency, or that it is otherwise ineligible, the staff would notify Alset that its securities are subject to delisting. The company could appeal that determination, though the filing states there can be no assurance the staff would grant a request for continued listing.

The reverse split

The filing states that Alset has previously announced its intent to effect a reverse stock split of its common stock at a ratio of 1-for-5, and that it anticipates announcing the timing of that split in the immediate future.

The company said it intends to continue actively monitoring its bid price between now and April 26, 2027, and will consider available options to resolve the deficiency and regain compliance.

What this means

A minimum bid price rule is a listing standard, not a securities-law violation. Nasdaq requires companies on its Capital Market tier to keep their share price at or above $1.00, and a stock that trades below that level for 30 consecutive trading days triggers the notice Alset received. The rule exists mainly so that exchanges do not list stocks priced in fractions of a cent, which are harder to trade and more prone to sharp swings.

The 8-K is the form public companies use to disclose material events to investors between quarterly reports. This one was filed under Item 3.01, the item reserved for delisting notices, failures to meet continued listing standards, and transfers of listing. Filing it satisfies the company's obligation to tell the market about the Nasdaq letter in a timely way; the letter itself is from Nasdaq, not from the company.

A reverse stock split is the usual remedy. In a 1-for-5 split, every five existing shares are combined into one, and the share price is multiplied by roughly five while the number of shares outstanding falls by the same factor. The company's overall market value does not change from the split alone. Alset has already announced its intent to do a 1-for-5 split, which at the current $0.51 close would imply a price of about $2.55 per share on a post-split basis, though the actual price after any split will depend on trading at that time.

The 180-day clock and the possible second 180-day period are the standard mechanics Nasdaq applies to bid-price deficiencies. The next dated step in the filing is April 26, 2027; before then, the filing indicates the company expects to announce when its reverse split will take effect.