Nexalin Regains Nasdaq Bid Price Compliance, Panel Grants Continued Listing

Nexalin Technology, Inc. (Nasdaq: NXL) has regained compliance with the Nasdaq minimum bid price requirement following written confirmation from The Nasdaq Stock Market LLC. The exchange verified that the company's common stock closed above the $1.00 per share threshold for 21 consecutive trading days, spanning August 31 through September 29, 2026, a period that followed the company's previously announced reverse stock split.

This confirmation, dated September 30, 2026, follows a September 25, 2026 decision by the Nasdaq Hearings Panel to grant Nexalin's request for continued listing. Under the terms of that decision, the company was required to demonstrate bid price compliance, which it has now satisfied. However, the Panel's ruling includes an additional condition: Nexalin must show it meets the $2.5 million stockholders' equity threshold under Nasdaq Listing Rule 5550(b)(1) by January 4, 2027.

Mark White, Chief Executive Officer of Nexalin, stated that the company appreciates the Panel's decision and is pleased to have met the bid price requirement. White noted that the company's primary focus remains on business momentum, including a recently announced distribution agreement covering Brazil and six additional South American markets. He described this agreement as an important step in the company's transition toward commercial revenue generation. Additionally, the company continues to advance its U.S. clinical programs, specifically citing its pivotal HALO Clarity clinical trial in insomnia as it pursues FDA marketing authorization for its Deep Intracranial Frequency Stimulation technology.

The continued listing of Nexalin on Nasdaq remains subject to the terms of the Panel's decision. This includes the requirement to meet the stockholders' equity threshold by the January 4, 2027 deadline and to promptly notify the Panel of any significant events during the exception period that may affect compliance with Nasdaq's listing requirements. The Panel has reserved the right to reconsider the terms of the exception.

The company cautioned that there can be no assurance it will be able to demonstrate compliance with the stockholders' equity requirement within the required timeframe or maintain compliance with other continued listing requirements. Risks associated with these forward-looking statements include the company's ability to complete necessary financing, the discretion of the Panel to modify or terminate the exception terms, and general market conditions affecting trading price. Additional risks relate to the execution of the South American distribution agreement, regulatory approvals in those markets, and clinical trial outcomes.