Meiwu Technology Co., Limited Regains Compliance with Nasdaq Listing Requirements
Shenzhen, China, Jan. 18, 2024 (GLOBE NEWSWIRE) -- Meiwu Technology Co., Limited (NASDAQ:WNW) ("Meiwu" or the "Company"), an online and mobile commerce company providing organic and green food products to customers on its online platform and in its stores, enterprise short message service ("SMS") and information technology to serve designated medical insurance institutions in China. The Company today announced on January 9, 2024, it received notice from the NASDAQ Office of General Counsel that the bid price deficiency of Meiwu's ordinary shares has been cured, and Meiwu has regained compliance with NASDAQ Marketplace Rule 5550(a)(2).
As a result, a previously scheduled hearing with the NASDAQ Hearing Panel has been deemed moot and will not be held. Meiwu's ordinary shares will continue to be listed and traded on The Nasdaq Stock Market.
About Meiwu Technology Company Limited
Meiwu Technology Company Limited is a British Virgin Islands company incorporated on December 4, 2018, and conduct our business in China through our subsidiaries and variable interest entity, Meiwu Zhishi Technology (Shenzhen) Co., Ltd ("VIE"). The VIE is an online and mobile commerce company and conduct our business through our online retail store on the website www.wnw108.com. The VIE sell a myriad of food products on the website all the food products sold on the website are from the suppliers. The VIE do not sell genetically modified food and committed to providing our customers with safe, high-quality, nutritious, tasty and non-genetically modified food products through our portfolio of trusted and well-known suppliers. Optimizing the Website and real-time data, the VIE able to respond to and match supply with demand for food products in keeping with consumer trends. On June 23, 2022, we had completed the acquisition of Mahaotiaodong (Xiamen) Technology Company Limited ("Mahao"). Mahao is a company engaging in providing internet access and related services based in Xiamen, China. Mahao operated a short message service platform to send customized content to terminal customers. Mahao is a mobile information service provider with rich industry experience. Enterprise Short Message Service ("SMS") is currently the main business form of Mahao. Mahao utilizes its accumulated system development technology and business understanding based on customers' industry to provide professional enterprise SMS services to customers. Mahao mainly provides customers with a complete set of services around enterprise SMS through various forms such as customized system development, enterprise instant messaging platform, API system docking, etc., including early debugging and opening of customer and Mahao platform docking, maintenance and upgrading of customer SMS operation system during operation, and solving problems such as delay in SMS transmission, ensuring smooth and fast SMS transmission. At the same time, Mahao takes auditing information security and optimizing customer experience as its responsibility. Through a rigorous program, mobile information content is audited to ensure that various enterprise SMS messages, including information verification, user notifications, member reminders, and marketing promotion, can be safely and effectively delivered to information recipients. On the basis of ensuring efficient transmission of mobile information and content security, Mahao provides various enterprise SMS services, including mobile business scenario construction, product operation support, consumer relationship management and support, for various financial, internet, e-commerce, express logistics and other enterprise customers.
Safe Harbor Statement
Certain statements made in this release are "forward looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words "estimates," "projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "should," "future," "propose" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company's control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, are: the ability to manage growth; ability to identify and integrate other future acquisitions; ability to obtain additional financing in the future to fund capital expenditures; fluctuations in general economic and business conditions; costs or other factors adversely affecting our profitability; litigation involving patents, intellectual property, and other matters; potential changes in the legislative and regulatory environment; a pandemic or epidemic. The forward-looking statements contained in this release are also subject to other risks and uncertainties, including those more fully described in the Company's filings with the Securities and Exchange Commission, including the Company's Amended Annual Report on Form 20F filed with the SEC on October 18, 2023, the Current Report on Form 6-K filed with the SEC on November 23, 2022, which may be amended from time to time, and in our Quarterly Report on Form 6-K that will be filed following this earnings release. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Such information speaks only as of the date of this release.
Contacts
Meiwu Technology Company Limited
Xinliang Zhang
Email: [email protected]
MEIWU TECHNOLOGY COMPANY LIMITED
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
| December 31, 2022 | June 30, 2023 | |||||||
| (Unaudited) | ||||||||
| ASSETS | ||||||||
| Current Assets: | ||||||||
| Cash | $ | 23,716,768 | $ | 15,783,731 | ||||
| Accounts receivable | 4,043,473 | 5,008,411 | ||||||
| Inventories, net | 344,823 | 259,269 | ||||||
| Advances to suppliers, net | 1,382,172 | 1,275,527 | ||||||
| Other current assets | 386,954 | 426,942 | ||||||
| Total Current Assets | 29,874,190 | 22,753,880 | ||||||
| Property and equipment, net | 183,386 | 121,453 | ||||||
| Right of use lease assets, net | 227,603 | 166,530 | ||||||
| Intangible Assets | - | 6,757,409 | ||||||
| Deferred Offering Costs | 9,893 | - | ||||||
| Goodwill | 7,700,569 | 7,700,569 | ||||||
| Total Non-current Assets | 8,121,451 | 14,745,961 | ||||||
| TOTAL ASSETS | $ | 37,995,641 | $ | 37,499,841 | ||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
| Current Liabilities: | ||||||||
| Accounts payable | $ | 4,990,647 | $ | 4,587,561 | ||||
| Short-term loan | 332,309 | 291,106 | ||||||
| Contract liabilities | 747,093 | 1,038,871 | ||||||
| Lease liabilities | 107,467 | 96,819 | ||||||
| Tax Payable | 204,232 | 388,520 | ||||||
| Accrued expenses and other current liabilities | 1,964,469 | 2,441,940 | ||||||
| Total Current Liabilities | 8,346,217 | 8,844,817 | ||||||
| Due to related parties | 3,679,717 | 3,619,505 | ||||||
| Long-term loan | 218,722 | 156,031 | ||||||
| Convertible notes | 5,550,607 | - | ||||||
| Lease liabilities | 144,163 | 37,705 | ||||||
| Total Non-current Liabilities | 9,593,209 | 3,813,241 | ||||||
| TOTAL LIABILITIES | $ | 17,939,426 | $ | 12,658,058 | ||||
| Commitment and Contingencies | ||||||||
| Stockholders' Equity | ||||||||
| Ordinary Shares, no par value, unlimited shares authorized; 100,670,199 and 60,945,313 shares issued and outstanding as of June 30, 2023 and December 31, 2022, respectively | $ | - | $ | - | ||||
| Additional paid-in capital | 38,571,534 | 44,515,801 | ||||||
| Accumulated deficit | (17,081,329 | ) | (17,349,240 | ) | ||||
| Accumulated other comprehensive loss | (1,281,864 | ) | (2,161,936 | ) | ||||
| Equity attributable to owners of the Company | 20,208,341 | 25,004,624 | ||||||
| Non-controlling interests | (152,126 | ) | (162,841 | ) | ||||
| Total Stockholders' Equity | 20,056,215 | 24,841,783 | ||||||
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 37,995,641 | $ | 37,499,841 | ||||
MEIWU TECHNOLOGY COMPANY LIMITED
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND OTHER COMPREHENSIVE LOSS
(Unaudited)
| For the Six Months Ended June 30, | ||||||||
| 2022 | 2023 | |||||||
| NET REVENUE | $ | 1,166,425 | $ | 10,683,243 | ||||
| COST OF REVENUE | (1,015,769 | ) | (8,228,377 | ) | ||||
| GROSS PROFIT | 150,656 | 2,454,866 | ||||||
| OPERATING EXPENSES | ||||||||
| Sales and Marketing Expenses | (414,750 | ) | (801,374 | ) | ||||
| General and Administrative Expenses | (5,122,188 | ) | (1,504,654 | ) | ||||
| Research and Development Expenses | (172,437 | ) | (107,626 | ) | ||||
| Total operating expenses | (5,709,375 | ) | (2,413,654 | ) | ||||
| (LOSS) INCOME FROM OPERATIONS | (5,558,719 | ) | 41,212 | |||||
| Gain on disposal of subsidiary | - | (29,279 | ) | |||||
| Other Income, net | 28,647 | (79,191 | ) | |||||
| LOSS BEFORE INCOME TAX | (5,530,072 | ) | (67,258 | ) | ||||
| Provision for Income Taxes | - | 211,368 | ||||||
| NET LOSS | (5,530,072 | ) | (278,626 | ) | ||||
| Less: net loss attributable to non-controlling interest | (24,926 | ) | (10,715 | ) | ||||
| OTHER COMPREHENSIVE LOSS | ||||||||
| Foreign Currency Translation Adjustment | (991,133 | ) | (880,073 | ) | ||||
| TOTAL COMPREHENSIVE LOSS | $ | (6,521,205 | ) | $ | (1,158,699 | ) | ||
| LOSS PER SHARE – BASIC AND DILUTED | (0.17 | ) | (0.01 | ) | ||||
| WEIGHTED AVERAGE SHARES OUTSTANDING – BASIC AND DILUTED | 39,376,394 | 80,917,493 | ||||||
MEIWU TECHNOLOGY COMPANY LIMITED
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
| For the Six Months Ended June 30, | ||||||||
| 2022 | 2023 | |||||||
| Net cash used in operating activities | (10,073,063 | ) | (333,642 | ) | ||||
| Net cash used in investing activities | (26,915 | ) | (6,762,905 | ) | ||||
| Net cash provided by financing activities | 7,670,698 | 157,068 | ||||||
| Effect of changes of foreign exchange rate on cash | 261,068 | (993,558 | ) | |||||
| Net decrease in cash | (2,168,212 | ) | (7,933,037 | ) | ||||
| Cash, beginning of the period | 26,634,332 | 23,716,768 | ||||||
| Cash, end of the period | 24,466,120 | 15,783,731 | ||||||
