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Chinese mobile content platform Qutoutiao recently announced that it will delist from Nasdaq.

Following the announcement, the stock price of Qutoutiao dropped 58.89%, closing at 0.296 US dollars per share on March 21, erasing more than 99.6% of its market value from its highest point.

In an SEC filing, it notes that on March 14 it received a determination letter from Nasdaq about the intent to delist the shares, based on the listing rule that publicly held companies hold a minimum $1M market value the closing price must be above 1 US dollar - but the company was unable to regain compliance after a 180-day grace period.

In addition, Qutoutiao also failed to submit its mid-term financial report for 2022 within the prescribed time.

Qutoutiao stated that it would not appeal the decision of Nasdaq to delist its stock. This also means that Qutoutiao will suspend trading from March 23 local time. 

Qutoutiao App was launched in June 2016, mainly providing entertainment and lifestyle information, relying on the subsidy model of "making money by watching content" to gain a lot of users, and was known as "Pinduoduo of the information industry".

In September 2018, Qutoutiao went public in the US, creating the fastest record of Chinese companies listing on Nasdaq at that time. Qutoutiao's opening price was 9.10 US dollars. On the first day of listing, due to excessive fluctuation, it triggered circuit breakers and suspended trading five times, becoming popular all at once.

However, Qutoutiao continued to make losses after listing. The net losses for the year of 2019 to 2021 were 2.689 billion yuan, 1.105 billion yuan and 1.24 billion yuan, respectively.