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      ECHMOHO Ltd. (MOHO) Soars After Hours on Approval for Transfer to Nasdaq Capital Market - Stocks Telegraph

      By Gule Rukhsar

      Published on

      March 18, 2022

      5:21 AM UTC

      ECHMOHO Ltd. (MOHO) Soars After Hours on Approval for Transfer to Nasdaq Capital Market - Stocks Telegraph

      On March 17, ECHMOHO Ltd. (MOHO) announced the approval of its request for transferring its ADSs from Nasdaq Global Market to the Nasdaq Capital Market. Consequently, the stock remained bullish throughout the day with a huge upsurge in the after-hours.

      In the regular trading session, the stock fluctuated between a high of $0.2850 and a low of $0.2425. MOHO closed the session in the green with a gain of 3.86%. At the close of the session, the stock had a value of $0.2800 per share while the number of shares traded was 5.89 million. In the following after-hours session, the stock’s bullish roll escalated to add a further 17.86%. Hence, MOHO was trading at a price of $0.3300 per share in the after-hours while 2.28 million shares exchanged hands.

      The non-medical health and wellness products seller, ECHMOHO Ltd. is based in China. Currently, its 31.6 million outstanding shares trade at a market capitalization of $12.52 million. Standing at a year-to-date loss of 30.86%, MOHO suffered a decline of 88.38% last year.

      MOHO’S Transfer to Nasdaq Capital Market

      As per the announcement, the approval for the transfer was received on March 16 from Nasdaq. Thus, the company’s ADSs commenced trading on the Nasdaq Capital Market at the opening of business on March 17. According to the announcement, the transfer would have no impact on the trading of the company’s ADSs and will uninterruptedly continue trading under “MOHO”. Moreover, the Nasdaq Capital Market and Nasdaq Global Market substantially operate in the same manner with certain requirements for continued listing on Nasdaq Capital Market.

      Source: Splash 247

      Reason for Transfer

      Previously, on September 16, 2021, the company was notified about its non-compliance with Nasdaq Listing Rule 5450(a)(1). Due to a below $1.00 closing bid price for over 30 consecutive days, the company was in non-compliance with Nasdaq. Therefore, the company was provided with 180 calendar days until March 15, 2022, for regaining compliance. Subsequently, the company submitted a request for the transfer which has thus extended the grace period. Resultantly, the company now has until September 12, 2022, to regain compliance with Nasdaq.

      MOHO’s Financial Highlights

      In the third quarter of 2021, the company has net revenues of $28.3 million with a gross margin rate of 22.7%. This compares to a gross margin rate of 17.7% on net revenues of $71.5 million in Q3 of 2020. The decrease in net revenue was driven by a decline in product sales in the quarter.

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