Company begins search for new independent director to regain compliance within stipulated cure period
Sify Technologies Ltd. has announced its non-compliance with Nasdaq listing rules following the resignation of Dr. Ajay Kumar from its Board of Directors. Dr. Kumar stepped down to assume a constitutional responsibility under the directive of the Hon’ble President of India.
The resignation has left Sify short of the required number of independent directors and audit committee members, breaching Nasdaq Listing Rules 5605(b)(1) and 5605(c)(2). Nasdaq formally notified the company on June 5, 2025, confirming the non-compliance and outlining a cure period for rectification.
Sify has until the earlier of its next annual shareholders’ meeting or May 15, 2026, to regain compliance. However, if the meeting is held before November 11, 2025, compliance must be demonstrated by that date. The notice has no immediate impact on the trading of Sify’s American Depository Shares (ADSs) on the Nasdaq Capital Market.
The company is actively identifying a new independent director to fill the board and audit committee vacancy. Should compliance be restored before the cure period ends, Sify must submit documentation, including the new director’s credentials, to Nasdaq. Failure to comply could result in delisting, subject to appeal.
Sify reiterated its commitment to corporate governance, emphasizing its efforts to restore compliance swiftly. A leader in ICT services in India, Sify serves over 10,000 businesses with an integrated portfolio of data centers, digital networks, and cloud-powered transformation services.
