Cellyan Biotech's Nasdaq Listing on the Line After Price Plunge

HONG KONG – January 16, 2026 – The clock is officially ticking for Cellyan Biotechnology Co., Ltd (Nasdaq: HKPD). The Hong Kong-based pharmaceutical e-commerce firm announced it has received a formal deficiency notice from Nasdaq for failing to maintain a minimum bid price of $1.00 per share for 30 consecutive business days. The notice puts the company's coveted Nasdaq listing at risk and thrusts it into a 180-day battle to regain compliance.

According to the company's press release, the non-compliance period ran from November 26, 2025, through January 9, 2026. While the notification has no immediate effect on the trading of Cellyan's shares, it initiates a critical period ending on July 13, 2026. To resolve the issue, the company's stock must achieve a closing bid price of at least $1.00 for a minimum of ten consecutive business days before the deadline. The news highlights the precarious position of many small-cap companies and raises questions about Cellyan's underlying financial health and market appeal.

The Countdown Begins: Navigating Nasdaq's Rules

The deficiency notice stems from a violation of Nasdaq Listing Rule 5550(a)(2), a common hurdle for companies whose market valuation has faltered. Cellyan's path forward is governed by Nasdaq's procedural rules, which offer a structured, albeit challenging, route back to good standing.

The initial 180-day period is the company's first line of defense. Should Cellyan fail to meet the ten-day, $1.00-plus closing price requirement by the July deadline, it may be eligible for a second 180-day grace period. However, qualifying for this extension is not automatic. The company would need to meet all other initial listing standards for the Nasdaq Capital Market—aside from the bid price—and formally notify the exchange of its plan to cure the deficiency.

This journey has become more complex due to recent tightening of Nasdaq's rules. The exchange has shown less tolerance for companies lingering in non-compliance. For instance, if a company's stock price falls to $0.10 or less for ten consecutive trading days during any compliance period, Nasdaq is now mandated to issue an immediate delisting determination. Furthermore, the exchange has cracked down on the repeated use of certain financial maneuvers, particularly reverse stock splits, to artificially maintain compliance.

While the threat of delisting is significant, it is not an insurmountable obstacle. Other companies have successfully navigated similar challenges. Baiya International Group Inc., for example, recently regained compliance in mid-January 2026 after receiving its own deficiency notice in August 2025, demonstrating that a focused effort can satisfy the exchange's requirements.

Behind the Dollar Sign: A Look at Cellyan's Performance

The Nasdaq notice is a direct consequence of Cellyan's stock performance, which has been under severe pressure. Over the past year, HKPD shares have plummeted by over 70%, with the stock recently trading around the $0.80 mark. Its 52-week high of $2.82, reached almost exactly a year ago, now seems a distant memory. The stock's volatility is notably high, ranking above 75% of all U.S. stocks and signaling significant market uncertainty.

Beneath the stock chart lies a niche business model operating in a complex market. Cellyan, formerly known as Hong Kong Pharma Digital Technology Holdings Limited, provides a one-stop supply chain solution for over-the-counter (OTC) pharmaceutical products. It serves Mainland Chinese customers seeking access to products from outside the mainland, managing everything from procurement and regulatory permits to logistics and final delivery. While the company reported a 21.7% increase in revenue over the past year, this growth has not translated into investor confidence or a stable market valuation, with its market capitalization hovering below $9 million.

Investor sentiment appears to have soured significantly. The stock has been labeled a "Value Trap" by some market analysis services, and a delayed 20-F filing announced in December 2025 may have further dented confidence in the company's operational transparency. With virtually no active analyst coverage and technical indicators flashing bearish signals, Cellyan faces an uphill battle in convincing the market of its long-term value proposition.

A Reverse Split on the Horizon?

To escape its current predicament, Cellyan is widely expected to consider a reverse stock split, a common tool for companies in this situation. This corporate action consolidates the number of existing shares into fewer, proportionally more valuable ones, thereby mechanically increasing the per-share price. Tellingly, the company's shareholders had already approved the authorization for a potential reverse split at their annual meeting on December 12, 2025, indicating that management was preemptively preparing for this exact scenario.

While a reverse split can provide a quick fix for the bid price problem, it is often viewed by investors as a cosmetic solution that fails to address the fundamental issues depressing a stock's value. It can signal that a company is unable to boost its price through organic growth or positive business developments. Nasdaq's stricter rules also add a layer of risk; if the split inadvertently causes the company to fail another listing standard, such as the minimum number of publicly held shares, it will not be granted a new compliance period for the second issue.

Cellyan's management stated it is "currently looking into various options available" to regain compliance. The path it chooses will be a critical determinant of its future on the public market. The company must not only engineer a short-term price recovery but also convince a skeptical market that its underlying business is strong enough to sustain that value long after the compliance clock has been reset.