Failure to Satisfy Listing Rule (Form 8-K)

As previously reported, on September 1, 2026, Nexalin Technology, Inc. (the "Company") presented its plan of compliance to the Hearings Panel (the "Panel") of The Nasdaq Stock Market LLC ("Nasdaq") and requested continued listing on Nasdaq and an extension to demonstrate compliance with the minimum bid price requirement under Nasdaq Listing Rule 5550(a)(2) (the "Minimum Bid Price Requirement") and the minimum stockholders' equity requirement of $2,500,000 for continued listing on The Nasdaq Capital Market under Nasdaq Listing Rule 5550(b)(1) (the "Stockholders' Equity Requirement").

On September 25, 2026, the Company received a written notification (the "Notice") from the Panel granting the Company's request for continued listing on Nasdaq, subject to the conditions that (1) on or before September 28, 2026, the Company shall demonstrate compliance with the Minimum Bid Price Requirement and (2) on or before January 4, 2027, the Company shall demonstrate compliance with the Stockholders' Equity Requirement. The Panel will also require the Company to demonstrate a closing bid price of $1.00 or greater per share for a minimum of 20 consecutive trading sessions. This additional listing requirement was imposed by the Panel pursuant to Nasdaq Listing Rule 5815(c)(4).

As previously disclosed on August 17, 2026, the Company received a Staff Determination Letter from Nasdaq (the "August Delisting Notice") stating that the Company no longer satisfied the Stockholders' Equity Requirement. The August Delisting Notice further noted that the Company did not satisfy either of the alternative continued listing standards under Nasdaq Listing Rule 5550(b).

Additionally, as previously disclosed, on July 24, 2026, the Company received a Staff Determination Letter from Nasdaq (the "July Delisting Notice") stating that the Company had not regained compliance with the minimum bid price requirement under Nasdaq Listing Rule 5550(a)(2) and was not eligible for an additional compliance period under Nasdaq Listing Rule 5810(c)(3)(A) because the Company did not meet the $5,000,000 minimum stockholders' equity initial listing requirement for The Nasdaq Capital Market.

The Company intends to take all steps necessary to satisfy the conditions of the Notice within the compliance periods granted by the Panel, and the Company's common stock will continue to be listed and traded on The Nasdaq Capital Market during the exception period, subject to the Company's compliance with the terms of the Notice. There can be no assurance, however, that the Company will be able to demonstrate compliance with the Minimum Bid Price Requirement or the Stockholders' Equity Requirement within the periods granted by the Panel, or that the Company will otherwise maintain compliance with the other applicable Nasdaq continued listing requirements. If the Company fails to satisfy the conditions of the Notice, the Company's common stock will be subject to delisting from Nasdaq.