Summary
- ChargePoint received a notice of deficiency from the NYSE regarding its common stock price
- The notice does not impact the listing or trading of the company’s common stock
- ChargePoint intends to cure the deficiency and regain compliance with NYSE’s standards
- The company may consider a reverse stock split to address the stock price non-compliance
- The notice is not expected to affect the company’s ongoing business operations or SEC reporting requirements
Article
ChargePoint, a leading provider of networked solutions for charging electric vehicles (EVs), recently received a notice from the New York Stock Exchange (NYSE) stating that it is not in compliance with Section 802.01C of the NYSE Listed Company Manual due to the average closing price of its Common Stock being below $1.00 over a consecutive 30 trading-day period. This notice is a deficiency notification and does not impact the listing or trading of ChargePoint’s Common Stock on the NYSE. The company plans to notify the NYSE by March 5, 2025, indicating its intention to cure the deficiency and regain compliance within six months.
To remedy the stock price deficiency, ChargePoint may consider options such as a reverse stock split, subject to stockholder approval at the next annual meeting. The company has the opportunity to regain compliance within the cure period if it achieves a closing share price of at least $1.00 and an average closing share price of at least $1.00 over the 30 trading-day period by the end of any calendar month. Additionally, if ChargePoint decides to cure the deficiency through an action requiring stockholder approval, the price condition will be considered resolved if the share price promptly exceeds $1.00 per share.
Despite the deficiency notice, ChargePoint’s Common Stock will continue to be listed and traded on the NYSE, provided that the company maintains compliance with the exchange’s other listing standards. This situation is not expected to impact the company’s business operations or its reporting requirements with the U.S. Securities and Exchange Commission. ChargePoint remains committed to its mission of creating a new fueling network for electric vehicles since 2007, offering a wide range of EV charging solutions through its cloud subscription platform and software-defined charging hardware.
ChargePoint advises investors to be cautious regarding forward-looking statements included in the press release, as there are potential risks and uncertainties that could affect the company’s ability to maintain its NYSE listing and comply with continued listing standards. Factors that could impact actual results are detailed in the company’s Form 10-Q filed with the SEC and include risks related to financial results and compliance with NYSE requirements. ChargePoint is dedicated to providing updates on any developments that may affect its listing status and will follow all necessary procedures to address the deficiency notice.
In conclusion, ChargePoint’s receipt of a deficiency notice from the NYSE regarding its Common Stock’s average closing price below $1.00 over a 30 trading-day period does not immediately impact its listing or trading on the exchange. The company is taking steps to address this issue by signaling its intent to cure the deficiency and return to compliance within the six-month cure period. ChargePoint may explore options such as a reverse stock split to meet the NYSE’s continued listing standards, ensuring that its Common Stock remains available for trading on the NYSE.
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