Xiao-I Corporation Announces Receipt of Nasdaq Listing Deficiency Notice

Xiao-I faces Nasdaq delisting risk after failing the $15M public float minimum.

What the company is saying

Xiao-I Corporation discloses receipt of a Nasdaq notice dated August 6, 2026, stating non-compliance with the minimum market value of publicly held shares (MVPHS) requirement under Rule 5450(b)(3)(C). The company highlights that its MVPHS was below $15,000,000 for the 30 business days ending August 4, 2026. Management emphasizes that the notice does not immediately affect the listing or trading of its ADSs, which remain on the Nasdaq Global Market under 'AIXI' for now. The announcement stresses the procedural path: a 180-day compliance window, with the need for MVPHS to close above $15,000,000 for at least 10 consecutive business days. Language is neutral and procedural, with no claims of imminent solutions or turnaround. The only promotional element is the unsupported assertion of being a 'leading cognitive intelligence enterprise in China,' which lacks any substantiating data. No individual executives or institutional figures are named or cited as involved.

What the data suggests

The only quantitative disclosure is that Xiao-I’s MVPHS was below $15,000,000 for the 30 days from June 23 to August 4, 2026, triggering the compliance issue. Nasdaq rules require at least $15,000,000 in MVPHS for continued listing, and the company failed this test. No specific MVPHS figure, share count, or price data is provided, so the magnitude of the shortfall is unclear. There are no financial results, operational metrics, or cash flow figures disclosed. The compliance window is 180 calendar days, ending February 1, 2027, with a requirement for MVPHS to close above $15,000,000 for a minimum of 10 consecutive business days (potentially up to 20 at Nasdaq’s discretion). The announcement does not specify any concrete actions planned to regain compliance. No evidence is provided to support the claim of market leadership or breadth of offerings. An independent analyst would conclude that the company is at risk of delisting and that no operational or financial improvement is demonstrated in this disclosure.

Analysis

The announcement is a factual regulatory update regarding Xiao-I Corporation's non-compliance with Nasdaq's minimum market value of publicly held shares requirement. The language is neutral and procedural, with no promotional or exaggerated claims about the company's prospects or performance. The only potentially inflated statement is the generic description of the company as a 'leading cognitive intelligence enterprise,' which is not supported by any operational or financial data in the text. The majority of the content is backward-looking or present-tense, describing the compliance issue and the process for regaining compliance. There are some forward-looking statements about the compliance period and possible outcomes, but these are procedural and not aspirational. No capital outlay or investment program is disclosed, and there is no discussion of financial or operational growth. The gap between narrative and evidence is minimal, as the announcement is strictly regulatory in nature.

Risk flags

• ●Delisting risk is material: If Xiao-I fails to restore MVPHS above $15,000,000 for the required period by February 1, 2027, Nasdaq will initiate delisting procedures. This could severely impact share liquidity and investor access.
• ●Lack of operational or financial disclosure: The announcement provides no data on revenues, profits, cash reserves, or business initiatives that could support regaining compliance. This opacity increases uncertainty about the company’s ability to address the deficiency.
• ●No specific remediation plan: The company does not outline any concrete steps or strategies to increase its MVPHS, such as buybacks, capital raises, or business development efforts. The absence of a plan raises execution risk and leaves investors without visibility on management’s intentions.

Bottom line

Xiao-I Corporation is at risk of being delisted from Nasdaq after failing to meet the $15,000,000 minimum public float requirement for 30 consecutive days. The company now has 180 days, until February 1, 2027, to restore its MVPHS above this threshold for at least 10 consecutive business days, but has not disclosed any strategy or operational progress to address the issue. No financial or business performance data is provided, making it impossible to assess the likelihood of compliance or underlying business health. The only forward-looking element is the procedural compliance window; there is no evidence of imminent turnaround or management action. Investors should treat this as a regulatory warning with real downside risk, not as a sign of operational progress. The most important takeaway is that continued listing is in jeopardy unless the company can materially improve its public float or share price in the next six months.

Announcement summary

(NASDAQ:AIXI) Xiao-I Corporation announced that it received a written notification letter from the Listing Qualifications Department of The Nasdaq Stock Market LLC dated August 6, 2026, indicating that the Company is not currently in compliance with the minimum market value of publicly held shares requirement set forth in Nasdaq Listing Rule 5450(b)(3)(C). Nasdaq Listing Rule 5450(b)(3)(C) requires a company listed on The Nasdaq Global Market to maintain an MVPHS of at least US$15,000,000. Based on the closing bid price of the Company's American Depositary Shares for the 30 consecutive business days from June 23, 2026 through August 4, 2026, the Company's MVPHS was below US$15,000,000. The Company has been provided a compliance period of 180 calendar days, or until February 1, 2027, to regain compliance. To regain compliance, the Company's MVPHS must close at US$15,000,000 or more for a minimum of 10 consecutive business days during the compliance period, although Nasdaq may require compliance for a longer period, generally not exceeding 20 consecutive business days. The Notice has no immediate effect on the listing or trading of the Company's ADSs, which will continue to be listed and traded on The Nasdaq Global Market under the symbol "AIXI," subject to the Company's compliance with Nasdaq's other continued listing requirements. Xiao-I Corporation is a leading cognitive intelligence enterprise in China that offers a diverse range of business solutions and services in artificial intelligence.

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