Maxeon challenges Nasdaq delisting risk, plans reverse inventory break up – pv journal International

Nasdaq’s Listing Qualifications Department stated it should take away Maxeon Solar Technologies from its top-tier Nasdaq Global Select Market. The Singapore-based PV module producer responded by submitting a listening to request, which might mechanically halt the delisting course of till a listening to takes place.

According to an organization assertion, Nasdaq made the choice as a result of Maxeon’s securities had a closing bid value of $0.10 or decrease for 10 consecutive buying and selling days. However, the corporate stated it believes a reverse inventory break up introduced in August may increase share costs above the edge required for the Global Select Market.

The firm stated that on August 29, its shareholders accepted the consolidation of every 100 strange shares into one share. The firm’s board of administrators is now taking steps to implement a reverse inventory break up, which it believes will increase the bid value above the $1.00 minimal requirement.

In a letter to traders accompanying the corporate’s second-quarter 2024 outcomes, CEO Bill Mulligan stated Maxeon faces “vital market headwinds and uncertainties” as a consequence of of aggressive stress, market demand, and mission delays, amongst different elements.

“In addition to those broader challenges, we not too long ago skilled Customs and Border Protection’s (CBP) first detentions of our modules imported into the US from our factories in Mexico to test compliance of the Uyghur Forced Labor Prevention Act (UFLPA),” Mulligan stated. “They successfully stopped all of our shipments to the US, a market that accounted for greater than 60% of our second quarter income, and brought about extreme stress on the corporate’s earnings and money move.”