Written by Cláudio Afonso | LinkedIn | X
The US-based startup Nikola announced on Wednesday it has has regained compliance with Nasdaq Listing Rule 5450(a)(1), which requires that listed companies secure a minimum share price of $1.00.
Aiming to regain compliance with the Nasdaq, the company executed a 1-for-30 reverse stock split on June 25. The reverse split was approved by shareholders at the 2024 annual meeting held in early June.
The Nasdaq rule mandates that companies listed on the Nasdaq Global Market must maintain a minimum bid price of $1 per share. If a company’s stock price falls below this threshold for 30 consecutive business days, the company risks being delisted.
From June 25 to July 10, the closing price of Nikola’s stock was $1.00 per share or higher allowing the company to regain compliance.
Year to date, the company’s stock registers a loss of nearly 64 percent despite the recent gains of 32 percent from the all time low at $7.05 per share reached earlier this month.
In the second quarter of the year, the company sold 72 units of its Class 8 Nikola hydrogen fuel cell truck with first half of 2024 sales reaching 112 units.
Nikola is also seeking more deals to supply its electric trucks. Wayfair is testing Nikola’s trucks in California, according to Anna Vinogradova, Head of Global Sustainability and ESG at Wayfair.
Last Thursday, Nikola announced that Walmart Canada has integrated the first Nikola hydrogen fuel cell electric semi-truck into its fleet. Walmart Canada is the first retail fleet in North America to operate a hydrogen fuel cell electric truck.
In a new interview for the “Future Says” podcast, Nikola’s Global Head of Supply Chain Management, Pedro Garcia, anticipated that additional safety regulations will be implemented, necessitating industry-wide compliance and adaptation.
Written by Cláudio Afonso | LinkedIn | X
