Guardforce AI (NASDAQ:GFAI) Co. Limited said its secured logistic subsidiary, Guardforce Cash Solutions Security (Thailand) Company Limited (GFCS), has extended its contract as the automated teller machine (ATM) service provider for Government Savings Bank (GSB) in Thailand.
The contract, which starts on June 1, 2022, is worth about $19.5 million over a three-year period. Under the agreement, GFCS will service approximately 4,000 units across Thailand and provide a full suite of ATM services, including replenishment, maintenance and cleaning services.
"We are delighted to have extended this significant multi-year ATM contract with Government Savings Bank in Thailand. This contract is a further illustration of our competitiveness, reliability, and solid reputation in the industry," Kee Yun Kwan, Guardforce AI COO, said in a statement.
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"The cash logistic market represents a significant growth opportunity for our cost-effective and secure cash management solutions. Based on a recent report from Allied Market Research, the global cash logistic market is projected to grow from $16.83 billion in 2020 to $33.28 billion by 2030. Additionally, with the easing of COVID-19 restrictions and the revival of the economy, especially tourism, we anticipate that the demand for our secured logistics solutions will continue to increase. We look forward to accelerating the commercial rollout of our cash solutions across Thailand, which play an important role in reducing risks and public exposure of cash transfer."
Nasdaq listing
Additionally, Guardforce AI said the Nasdaq Stock Market LLC has notified the company that it is not in compliance with the minimum bid price requirement as set forth under NASDAQ Listing Rule 5550(a)(2) for continued listing on the NASDAQ.
“The receipt of the notification letter has no immediate effect on the listing of the company's ordinary shares, which will continue to trade uninterrupted on NASDAQ under the ticker "GFAI". To address this issue, the company intends to continuously monitor its closing bid price and is in the process of considering various measures to improve its financial position and results of operations, which the company expects to countervail the short-term adverse effects on its trading price and cure the deficiency in due time,” Guardforce AI said.
The NASDAQ listing rule in question requires listed securities to maintain a minimum bid price of $1.00 per share. A failure to meet the minimum bid price requirement exists if the deficiency continues for a period of 30 consecutive business days. Under the rules, the company has been provided 180 calendar days, or until November 23, 2022, to regain compliance.
Guardforce AI is a global integrated security solutions provider that is focused on developing robotic solutions and information security services that complement its well-established secured logistics business.
Contact the author at jon.hopkins@proactiveinvestors.com