Company: BIAF
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010787
Chunk: 27

Company: bioAffinity Technologies, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part II, Item 3
Chunk 27
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 may be eligible for additional time to comply. In order to be
eligible for such additional time, we will be required to meet the continued listing requirements for market value of publicly held shares
and all other initial listing standards for The Nasdaq Capital Market, with the exception of the Minimum Bid Price Requirement, and must
notify Nasdaq in writing of our intention to cure the deficiency during the second compliance period. We intend to actively monitor the
bid price of our Common Stock and will consider available options to regain compliance with the Nasdaq listing requirements.

If we fail
to satisfy the continued listing requirements of The Nasdaq Capital Market, such as the corporate governance requirements, the
stockholder’s equity requirement, or the minimum closing bid price requirement, The Nasdaq Capital Market may take steps to
de-list our Common Stock or Tradeable Warrants. As reported in this Quarterly Report on Form 10-Q, our stockholders’ equity of
approximately $1.4 million is below the Nasdaq required stockholders’ equity of $2.5 million. As a result, we will be unable
to request an additional 180 day period within which to comply with the Minimum Bid Price Requirement. Such a de-listing or even
notification of failure to comply with such requirements would likely have a negative effect on the price of our Common Stock and
Tradeable Warrants and would impair the ability to sell or purchase our Common Stock when you wish to do so. In the event of a
de-listing, we would take actions to restore our compliance with The Nasdaq Capital Market’s listing requirements, but we can
provide no assurance that any such action taken by us would allow our Common Stock to become listed again, stabilize the market
price, improve the liquidity of our Common Stock, prevent our Common Stock from dropping below The Nasdaq Capital Market minimum bid
price requirement, or prevent future non-compliance with The Nasdaq Capital Market’s listing requirements.

The National Securities Markets
Improvement Act of 1996, which is a federal statute, prevents or preempts the states from regulating the sale of certain securities, which
are referred to as “covered securities.” Because our Common Stock is listed on The Nasdaq Capital Market, it is a covered
security. Although the states are preempted from regulating the sale of covered securities, the federal statute does allow the states
to investigate companies if there is a suspicion of fraud, and, if there is a finding of fraudulent activity, then the states can regulate
or bar the