LM FUNDING AMERICA, INC. 8-K

What Happened
LM Funding America, Inc. announced on its Form 8‑K that on January 7, 2026 it received a letter from The Nasdaq Stock Market stating the company's consolidated closing bid price had been below $1.00 per share for 35 consecutive business days as of January 6, 2026. Under Nasdaq Listing Rule 5550(a)(2) the company is not currently in compliance with the minimum bid price requirement. Nasdaq has granted an automatic 180‑calendar day compliance period under Rule 5810(c)(3)(A), giving the company until July 6, 2026 to regain compliance by achieving a consolidated closing bid of $1.00 or more for at least ten consecutive business days.

Key Details

• Nasdaq notice received January 7, 2026; deficiency measured through January 6, 2026 (35 consecutive business days below $1.00).
• 180‑calendar day cure period runs through July 6, 2026; must have $1.00+ closing bid for 10 consecutive business days.
• If not cured, the company may be eligible for a second 180‑day period only if it meets market value and other initial listing standards (except bid price) and notifies Nasdaq of intent to cure, potentially via a reverse stock split.
• If compliance is not achieved and no eligibility/appeal exists, the stock could be delisted unless the company requests a hearing to stay action. Form 8‑K signed by CFO Richard Russell on January 9, 2026.

Why It Matters
A continued failure to meet Nasdaq’s $1.00 bid requirement could lead to delisting, which would likely reduce liquidity and make the shares harder to trade. The company remains listed and trading during the compliance period, and management stated it will monitor the closing price and consider options (including a reverse split) to regain compliance. Investors should watch the closing bid price and future SEC/Nasdaq filings for updates on remediation steps or any hearing requests.