- Nasdaq will delist Canadian electric vehicle maker Vicinity Motor Corp. (NDAQ:VEV; TSXV:VMC) because the company’s shares continue to trade below US$1.
- On Tuesday, Vicinity Motor ceased trading on the TSX Venture Exchange.
- Vicinity Motor recently failed to renegotiate terms of financial restructuring with its creditors, RBC and Export Development Canada.
- Vicinity Motor stock closed at C$0.07 per share Monday before trading was halted on the TSXV.
Nasdaq will delist Canadian electric vehicle maker Vicinity Motor Corp. (NDAQ:VEV; TSXV:VMC) because the company’s shares continue to trade below US$1.
A day after it ceased trading on the TSX Venture Exchange, Vicinity Motor announced Wednesday that it has received a letter from the Nasdaq Listing Qualifications Department notifying it of the company’s failure to meet the minimum bid price requirement under Nasdaq Listing Rule 5550(a)(2). In a news release, Vicinity Motor stated it will not appeal the decision.
The letter stated that as of Oct. 21, 2024, the company’s stock had not regained compliance because its shares continued to trade below $1.
Vicinity Motor also received a separate delisting determination based on its recent entry into receivership pursuant to the Order of the Supreme Court of British Columbia. In light of the receivership filing, Nasdaq has determined that delisting is also warranted under Listing Rules 5101, 5110(b), and IM-5101-1. Vicinity Motor Corp. ceased trading on the TSXV on Tuesday.
Trading of Vicinity Motor’s common shares will be suspended at the opening of business on Oct. 31, 2024, with a Form 25-NSE filed with the Securities and Exchange Commission, removing Vicinity Motor Corp. from the Nasdaq Capital Market.
Vicinity Motor had been trying to renegotiate terms of financial restructuring with its creditors, RBC and Export Development Canada, after agreeing to terms on a debt restructuring plan Aug. 21. But the company announced on Oct. 11 that it had failed to come to an agreement with its creditors and would likely lay off remaining staff and cease operations.
Vicinity Motor is a North American supplier of electric vehicles for public and commercial enterprise use.
Vicinity Motor stock (TSXV:VMC) closed at C$0.07 per share Monday before trading was halted. The stock is down by 93.4 per cent on the year.
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(Top image: Vicinity Motor Corp.)