Digital Ally, Inc. Receives Notice of Minimum Bid Price Requirement from Nasdaq

Digital Ally, Inc. (NASDAQ: DGLY) recently disclosed in a Form 8-K filing with the Securities and Exchange Commission (SEC) that it has received a notice from the Nasdaq Stock Market LLC indicating non-compliance with Nasdaq Listing Rule 5550(a)(2), known as the Minimum Bid Price Requirement. This notice was received on December 20, 2024, based on the closing bid price of the company’s common stock which had been below $1.00 per share for the preceding thirty consecutive business days.

According to the filing, Digital Ally has been granted a 180-calendar day period by Nasdaq to restore compliance with the Minimum Bid Price Requirement. The deadline for compliance is set for June 18, 2025. During this period, Digital Ally’s common stock will remain listed and traded on the Nasdaq Capital Market. If the bid price of the common stock closes at or above $1.00 per share for at least ten consecutive business days within the Compliance Period, Nasdaq will confirm compliance, effectively closing the matter.

In the event that Digital Ally fails to meet the compliance deadline in June 2025, there is a provision for a potential second 180-calendar day compliance period. To qualify for this extension, the company must meet all other initial listing standards for Nasdaq, excluding the Minimum Bid Price Requirement, and formally declare its intent to regain compliance.

Should Digital Ally not meet the requirements within the specified compliance period(s), including any extensions granted by Nasdaq, the company may face delisting from the Nasdaq Capital Market. However, the company has the option to appeal any delisting determination to a Nasdaq hearings panel.

Digital Ally has stated its commitment to closely monitor the bid price for its common stock. The company is actively considering strategies to address the deficiency and regain compliance with the Minimum Bid Price Requirement. However, Digital Ally has cautioned that there are no guarantees of regaining or maintaining compliance, obtaining extensions from Nasdaq, or succeeding in any potential appeals to Nasdaq.

The filing also included forward-looking statements emphasizing the uncertainties and risks involved. These statements underscore the unpredictable nature of future outcomes and emphasize the company’s reliance on current expectations, estimates, and management assumptions.

Investors are advised to exercise caution and carefully consider the risks associated with forward-looking statements and the potential impact of factors beyond the company’s control. Digital Ally has committed to providing updates as necessary and complying with all regulatory requirements regarding future developments.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Digital Ally’s 8K filing here.

Digital Ally Company Profile

Digital Ally, Inc produces and sells digital video imaging, storage, and disinfectant and related safety products for use in law enforcement, security, and commercial applications in the United States. It operates through three segments: Video Solutions, Revenue Cycle Management, and Entertainment. The company offers in-car digital video mirror systems for law enforcement; in-car digital video event recorder systems for commercial fleets; a suite of data management web-based tools to assist fleet managers in the organization, archival, and management of videos and telematics information; body-worn digital video systems for law enforcement and private security; and VuLink ecosystem that provides intuitive auto-activation functionality as well as coordination between multiple recording devices.