Lordstown Motors gets Nasdaq delisting notice, explores reverse stock split
Reuters
Published Apr 20, 2023 09:06AM ET
Updated Apr 20, 2023 05:06PM ET
(Reuters) - Lordstown Motors Corp said on Thursday it has received a delisting notice from Nasdaq and is evaluating actions including a reverse stock split to meet the minimum bid price requirement set by the exchange.
The company received the notice because the closing bid price for the electric-truck maker's class A common stock fell below the minimum required price of $1 per share for 30 straight sessions, according to a regulatory filing.
Like other EV companies, Lordstown has been plagued with surging costs and supply challenges, and missed the delivery target for its Endurance pickup truck. Its shares have lost over 50% of their value so far this year.
Lordstown had put in a proposal on April 11 for its annual shareholder meeting, slated for May 22, to get an approval to carry out a reverse stock split of its class A common stock in the ratio ranging from one-for-three to one-for-fifteen.
The notice has no immediate impact on the company's stock listing and Lordstown Motors will have until Oct. 16 to regain compliance with Nasdaq's rules.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.