Gothenburg-headquartered Polestar has regained compliance with the listing rules of the Nasdaq exchange after the the closing bid price of the company’s American Depositary Shares (ADSs) exceeded $1 for at least ten consecutive business days. The firm was notified by Nasdaq on 5 July that it was not in compliance with the minimum bid price requirement as its ADSs had closed below $1 for 30 consecutive trading days.
“Following the publication of our annual report on Form 20-F in mid-August we regained reporting compliance,” says Polestar CFO Per Ansgar.
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“Clearing the remaining deficiency on the low bid price makes Polestar fully compliant with Nasdaq listing rules, and enables us to focus on business execution, as we ramp up deliveries of our two performance SUVs.”
The return of full Nasdaq compliance will be good news for the new team coming in to lead Polestar from the start of next month, which includes chairman Winfried Vahland, CEO Michael Lohscheller and CFO Jean-Francois Mady. As well as the rollout of the new Polestar 3 and 4, the firm is also hoping that a new sales structure involving a non-genuine agent model will aid its recovery after sales plunged in Q1.
But, while volumes rebounded somewhat last quarter, they were still lower year-on-year. And the new team might have achieved a short-term goal in pushing the share price back above $1, but long-suffering investors will likely demand further improvement, ideally back towards the $10/share mark last achieved in July 2022 (see main image).
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