Workhorse Group Inc. - 8-K Filing Summary
Business Context and Reporting Period
This Form 8-K was filed by Workhorse Group Inc. on December 6, 2018, reporting an event that occurred on December 4, 2018. The Company is incorporated in Nevada and maintains its principal executive offices in Loveland, Ohio.
Key Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. The report focuses exclusively on a regulatory listing status update.
Material Changes
On December 4, 2018, the Company received a notice from the NASDAQ Stock Market indicating that the bid price for its common stock had closed below the minimum $1.00 per share requirement for 30 consecutive business days. This constitutes a failure to satisfy the continued listing standard under NASDAQ Listing Rule 5550(a)(2).
Outlook, Risks, and Management Commentary
- Compliance Period: The Company has been granted 180 calendar days, until June 3, 2019, to regain compliance.
- Compliance Requirement: To regain compliance, the stock must maintain a minimum bid closing price of at least $1.00 per share for ten consecutive business days.
- Delisting Risk: If compliance is not achieved by June 3, 2019, NASDAQ may notify the Company of delisting. The Company retains the right to appeal this determination to a NASDAQ Listing Qualifications Panel.
- Alternative Path: The Company may be eligible for an additional 180-day grace period if it meets all other listing requirements under NASDAQ Listing Rule 5505, excluding the minimum bid price.
- Current Status: The notice has no immediate effect on trading; the stock continues to trade on the NASDAQ Capital Market under the symbol "WKHS".
- Management Action: Management intends to actively monitor the bid price and consider available options to resolve the deficiency.
Investor Verification Checklist
- Verify the current trading price of WKHS relative to the $1.00 threshold.
- Monitor the Company's stock price performance over the next 10 consecutive business days to assess immediate compliance progress.
- Review future filings for any announcements regarding reverse stock splits or other capital structure changes intended to address the bid price deficiency.
- Track the June 3, 2019 deadline for the final determination on listing status.