Graphex Group to Terminate U.S. ADS Program, Delisting from OTC Expert Market

summarizeSummary

Graphex Group is terminating its American Depositary Shares program, removing its listing from the OTC Expert Market and requiring U.S. investors to convert or sell their holdings.

check_boxKey Events

• Termination of ADS Program

  Graphex Group announced the voluntary termination of its American Depositary Shares (ADS) program, which currently trades on the OTC Expert Market under the symbol GRFXY.

• Delisting from U.S. Market

  The termination means the company's ADSs will no longer be available for trading in the U.S. market, following a previous delisting from NYSE American LLC in May 2025.

• Investor Action Required

  ADS holders have until at least July 17, 2026, to surrender their ADSs for underlying ordinary shares (traded on HKSE) or risk the Depositary selling their shares after this date, both options incurring fees.

• Strategic Rationale

  The company cited limited trading volume of ADSs and a small percentage of ordinary shares represented by ADSs as key reasons, aiming to consolidate its listing on The Stock Exchange of Hong Kong Limited (HKSE).

auto_awesomeAnalysis

This filing announces Graphex Group's decision to terminate its American Depositary Shares (ADS) program, effectively delisting its ADSs from the OTC Expert Market. This move significantly reduces accessibility and liquidity for U.S. investors, who will need to convert their ADSs to ordinary shares traded on the HKSE or have the depositary sell their shares, incurring fees. The company cited low trading volume and a small percentage of shares represented by ADSs as reasons, indicating a strategic shift to focus solely on its HKSE listing. This follows a previous delisting from NYSE American LLC in May 2025 and comes amidst recent news of the company receiving an extension to address HKSE board composition non-compliance, highlighting ongoing corporate governance challenges.