Workhorse Faces Nasdaq Delisting Warning

TL;DR

Nasdaq says Workhorse's stock price is too low, giving them 6 months to fix it or get booted.

AI Summary

Workhorse Group Inc. announced on March 21, 2024, that it received a notice from The Nasdaq Stock Market indicating a failure to meet the minimum bid price requirement for continued listing. The company has 180 calendar days, until September 18, 2024, to regain compliance.

Why It Matters

This notice signals potential delisting from Nasdaq, which could negatively impact the company's stock liquidity and investor confidence.

Risk Assessment

Risk Level: high — Failure to meet the minimum bid price requirement poses a significant risk of delisting from a major stock exchange.

Key Numbers

• 180 — calendar days (Timeframe to regain compliance)

Key Players & Entities

• Workhorse Group Inc. (company) — Registrant
• Nasdaq Stock Market (company) — Exchange issuing notice
• March 21, 2024 (date) — Date of notice
• September 18, 2024 (date) — Deadline for compliance

FAQ

Key Financial Figures

• $0.001 — nge on which registered Common Stock, $0.001 par value per share WKHS The Nasdaq
• $1.00 — Company's common stock had fallen below $1.00 per share for 30 consecutive trading da
• $1.00 M — ny was no longer in compliance with the $1.00 Minimum Bid Price requirement set forth i

Filing Documents

• ea0202400-8k_workhorse.htm (8-K) — 29KB
• 0001213900-24-025166.txt ( ) — 201KB
• wkhs-20240321.xsd (EX-101.SCH) — 3KB
• wkhs-20240321_lab.xml (EX-101.LAB) — 33KB
• wkhs-20240321_pre.xml (EX-101.PRE) — 22KB
• ea0202400-8k_workhorse_htm.xml (XML) — 4KB

01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing

Item 3.01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing As previously reported, on September 22, 2023, Workhorse Group Inc. (the "Company") received a written notice from the Listing Qualifications Department of Nasdaq Stock Market ("Nasdaq") indicating that, because the closing bid price for the Company's common stock had fallen below $1.00 per share for 30 consecutive trading days, the Company was no longer in compliance with the $1.00 Minimum Bid Price requirement set forth in Nasdaq Listing Rule 5550(a)(2) for continued listing on The Nasdaq Capital Market (the "Bid Price Requirement"). On March 21, 2024, the Company received written notification from the Listing Qualifications Department of Nasdaq (the "Extension Notice"), granting the Company's request for a 180-day extension to regain compliance with the Bid Price Requirement. The Company now has until September 16, 2024, to meet the Bid Price Requirement. If at any time prior to September 16, 2024, the bid price of the Company's common stock closes at $1.00 per share or more for a minimum of 10 consecutive trading days, the Company will regain compliance with the Bid Price Requirement. The Extension Notice has no immediate effect on the listing of the Company's common stock on The Nasdaq Capital Market and does not affect the Company's reporting requirements with the Securities and Exchange Commission. If the Company does not regain compliance with the Bid Price Requirement during the additional 180-day extension, Nasdaq will provide written notification to the Company that its common stock will be delisted. At that time, the Company may appeal the delisting determination to a hearings panel pursuant to the procedures set forth in the applicable Nasdaq Listing Rules. However, there can be no assurance that, if the Company does appeal the delisting determination by Nasdaq to the hearings panel, that such appeal would be successful. The Company has eva

Forward-Looking Statements

Forward-Looking Statements This Current Report on Form 8-K contains certain forward-looking statements within the meaning of federal securities laws with respect to the Company. Forward-looking a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking Requirement or maintain compliance with other Nasdaq Listing Rules; our ability to obtain stockholder approval of the Proposed Reverse Split and the ability of the Proposed Reverse Split to allow us to regain compliance with the Bid Price Requirement; our ability to ultimately obtain additional relief to regain compliance from Nasdaq, if necessary, or to meet applicable Nasdaq requirements for any such relief; and risks related to the substantial costs and diversion of personnel's attention and resources due to these matters. While we are planning to take actions to address non-compliance with the Bid Price Requirement, and have at least 180 days to do so, there can be no assurance that compliance will be achieved. Such non-compliance or a delisting from Nasdaq would materially and adversely affect our ability to raise capital and our financial condition and business. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and, except as required by law, the Company assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise. Important Additional Information And Where to Find It In connection with the Annual Meeting scheduled for May 14, 2024, the Company has filed a prelimin

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. WORKHORSE GROUP INC. Date: March 22, 2024 By: /s/ James D. Harrington Name: Title: James D. Harrington General Counsel, Chief Compliance Officer and Secretary

View Full Filing

View this 8-K filing on SEC EDGAR