BIO-key International Regains Compliance with Nasdaq Stockholder Equity Requirement

On November 27, 2024, BIO-key International, Inc. (NASDAQ: BKYI) entered into a Securities Purchase Agreement with Fiber Food Systems, Inc. and Boumarang Inc., resulting in the acquisition of 5 million shares of Boumarang by BIO-key International. In exchange, Fiber Food received 595,000 shares of BIO-key International’s common stock, representing 19.0% of the company’s issued and outstanding shares prior to the transaction.

The agreement, valued at $5 million, or $1.00 per share, has significantly increased BIO-key International’s total stockholders’ equity. This strategic move was made following a notice received earlier in the year from The Nasdaq Capital Market LLC regarding the company’s stockholders’ equity not meeting the Nasdaq Capital Market continued listing requirement.

With the new transaction boosting its equity figure, BIO-key International now believes it has regained compliance with the Minimum Stockholders’ Equity Requirement of at least $2.5 million, set forth by Nasdaq Listing Rule 5550(b)(1). Nasdaq will continue to monitor the company’s compliance, with a possibility of delisting if compliance is not maintained by the time of the next periodic report.

It’s important to note that all statements in this report, except historical facts, constitute forward-looking statements. These statements involve risks and uncertainties that may affect actual results and are subject to various factors impacting the company. BIO-key International has committed to regular updates on its compliance status and any ensuing developments arising from this agreement.

The full details and terms of the Securities Purchase Agreement can be found in Exhibit 10.1 of BIO-key International’s Current Report on Form 8-K, dated December 3, 2024. For further information and ongoing updates, stakeholders and investors are encouraged to stay tuned to developments as reported by the company themselves.

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

BIO-key International Company Profile

BIO-key International, Inc develops and markets fingerprint identification biometric technology and software solutions, and enterprise-ready identity access management solutions for commercial, government, and education customers in the United States and internationally. The company offers BIO-key PortalGuard and PortalGuard IDaaS solutions, a customer-controlled and neutral-by-design cloud-based identity platform that allows customers to integrate with any cloud or on-premises SaaS application, as well as windows device authentication through IAM platform.