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BEST Inc., a smart supply chain solutions and logistics services provider in China, announced on Tuesday that it had received a letter from the New York Stock Exchange, dated January 5, 2022, notifying the company that it was not in compliance with applicable price criteria in the NYSE’s continued listing standards because, as of January 4, 2022, the average closing price of the company’s American Depositary Shares (ADSs) was less than $1.00 per ADS over a consecutive 30 trading-day period.
BEST Inc. has six months following receipt of the notice to regain compliance with the minimum share price requirement. During the period, the company’s ADSs will continue to be listed and traded on the NYSE. The NYSE notification does not affect the company’s business operations.
BEST Inc. was listed on the NYSE on September 20, 2017 with a total financing amount of $450 million.
Its financial report shows that the net profit attributable to shareholders has been negative for many years. In the third quarter of 2021, it achieved revenue of 6.81 billion yuan ($1.07 billion), down 14.6% year-on-year, while the net loss reached 651 million yuan, up from 640 million yuan in the same period in 2020. Among them, its express delivery business achieved revenue of 3.988 billion yuan, down 21.7% year-on-year. The revenue of freight business was 1.358 billion yuan, down 9% year-on-year.
It is also worth noting that BEST Inc. announced on October 29, 2021 that it would sell its domestic express delivery business to J&T Express at a price of 6.8 billion yuan.