China Techfaith receives Nasdaq delisting notification
China TechFaith Wireless Communication Technology announced that it received a delisting determination letter from the staff of Nasdaq Listing Qualifications setting forth a determination to delist the company's American Depositary Shares from The Nasdaq Stock Market as a result of the company's failure to file its Form 20-F for the year ended December 31, 2018, pursuant to the Nasdaq's filing requirement set forth in its Listing Rule 5250(c)(1), and to timely disclose certain information relating to an investment made by the company, pursuant to the Nasdaq's disclosure requirement set forth in its Listing Rule 5250(b)(1). The Delisting Determination stated that unless the company requests an appeal of the Staff's determination to delist the company's ADSs, trading of the ADSs will be suspended at the opening of business on September 17, and a Form 25-NSE will be filed with the SEC, which will remove the company's securities from listing and registration on the Nasdaq. After due deliberation, the company does not intend to appeal the Delisting Determination by requesting a hearing before a hearings panel. After the company is delisted from the Nasdaq, its ADSs may be traded over-the-counter on the OTC Bulletin Board or in the "pink sheets" if one or more market makers seeks and obtains approval by the Financial Industry Regulatory Authority to continue quoting in the company's ADSs. Many over-the-counter stocks trade less frequently and in smaller volumes than securities traded on the Nasdaq, which would likely have a material adverse effect on the liquidity and value of the company's ADSs.