- PyroGenesis Canada (TSX:PYR) has informed the Nasdaq that it intends to voluntarily delist from the exchange
- The decision, caused by a failure to maintain a minimum US$1 share price, will save the company more than C$2 million in annual costs
- PyroGenesis Canada is a high-tech developer and manufacturer of advanced plasma processes and sustainable solutions to reduce greenhouse gases
- PyroGenesis Canada stock (TSX:PYR) has fallen by more than 95 per cent from its all-time high in February 2021
PyroGenesis Canada (TSX:PYR) has informed the Nasdaq that it intends to voluntarily delist from the exchange.
The news follows notice from the Nasdaq on Nov. 22, 2022, about Pyrogenesis shares failing to meet the minimum US$1 per share listing requirement under Nasdaq Listing Rule 5550(a)(2). The company then received a 180-day extension from the exchange in May 2023.
The delisting will save the company more than C$2 million in annual costs – including insurance, listing, reporting, accounting, legal and compliance – on top of a “substantial increase in expenses in the future due to growing compliance and regulatory requirements,” according to Friday’s news release.
The company expects the Nasdaq delisting to occur on or about Nov. 16.
PyroGenesis has been loss-making over the past year, most recently posting net income of -C$6.35 million in Q2 2023, sending the stock tumbling by 51.79 per cent year-over-year.
PyroGenesis shares will continue to trade on the Toronto Stock Exchange, with U.S. exposure to be replaced by a listing on the OTCQX Best Market, pending approval.
“Notwithstanding the various options available to the company to maintain a Nasdaq listing, including (i) the outside chance of achieving compliance with the Nasdaq minimum bid price within the current extension or within a potential extension through a successful appeal or (ii) a reverse stock split, the company has decided that a voluntarily delisting was in the best interest of our shareholders,” P. Peter Pascali, CEO and president of PyroGenesis Canada, said in a statement.
“It is worth noting that the estimated cost, exceeding C$2 million, which would require approximately C$4-6 million in revenues, was not lost on the board. The fact that these costs are expected to increase in future years, coupled with the general market downturn, weighed heavily in this decision,” he added.
PyroGenesis Canada is a high-tech developer and manufacturer of advanced plasma processes and sustainable solutions to reduce greenhouse gases. The company has received TSX30 recognition and is a previous Deloitte Canada Clean Technology Fast 50 winner.
PyroGenesis Canada stock (TSX:PYR) last traded at C$0.54 per share. The stock has fallen by more than 95 per cent from its all-time high in February 2021.
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