China TechFaith Wireless Communication Technology Limited, the BVI-based developer, owner and operator of commercial real estate properties, as well as mobile solutions provider in China, has received a delisting determination letter from Nasdaq, setting forth a decision to delist company’s American Depositary Shares from the Nasdaq Stock Market. This became the result of BVI company’s failure to file its Form 20-F for the year ended December 31, 2018, and to disclose in time information relating to company’s investment.
It is stated in the delisting determination that the ADSs will be suspended at the opening of business in September 17, 2019, and a form will be filed with SEC to remove Techfaith’s securities from listing and registration on the Nasdaq, unless the company requests an appeal on the decision.
The company does not intend to request an appeal, and so upon its delisting the shares 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. This would probably have material adverse effect on the liquidity and value of Techfaith’s ADSs.