TLDR
- STAI risks delisting as Nasdaq flags low value and late SEC filings.
- ScanTech races to fix market and reporting gaps before Nasdaq acts.
- Trading halt looms as STAI fights dual Nasdaq compliance failures.
- Hearing, filings, and a market-transfer bid stand between STAI and delisting.
- Nasdaq threatens suspension while ScanTech works to regain compliance.
ScanTech AI Systems (STAI) crashed after Nasdaq issued a delisting notice, signaling potential suspension from trading. The stock ended at $0.3751, down 2.39%, reflecting sharp market reaction.
ScanTech AI Systems Inc., STAI
The Nasdaq notice demands compliance by early December or triggers trading suspension.
Delisting Threat Tied to Market Value Deficiency
On May 27, Nasdaq staff informed ScanTech AI Systems that its market value of listed securities fell below the $50 million threshold for 30 straight trading days. The notification triggered a 180-day compliance window ending November 23. The company did not restore the minimum value, so Nasdaq escalated the delisting process.
Nasdaq scheduled trading suspension to begin at market open on December 5 if compliance fails. The delisting notice thus threatens to remove STAI from the Nasdaq Global Market. The market value deficiency now represents the primary reason for delisting under Nasdaq rule 5450(b)(2)(A).
ScanTech AI Systems faces immediate risk because the notice leaves little time for corrective action. The situation introduces serious listing uncertainty for the company and its common shares. The market appears to have responded quickly to this heightened risk.
Reporting Delays Compound Listing Risk
Nasdaq also cited the company’s failure to timely file its quarterly reports as additional grounds for delisting. The firm missed Form 10-Q filings for quarters ended June 30, 2025 and September 30, 2025. That reporting lapse triggers delisting under periodic reporting rules.
ScanTech previously filed amended Form 10-Q/A reports for the quarter ended March 31, 2025 and quarter ended June 30, 2025. The company now works on finalizing the report for the quarter ended September 30, 2025 and plans to file it soon. Nonetheless, the late filings already count as a separate delisting cause under Nasdaq rule 5810(c)(2)(A).
Nasdaq staff cannot treat it under the same compliance plan as the market-value issue. Rather, the firm must address both deficiencies separately to preserve its listing. The reporting delays therefore worsen the company’s overall listing predicament.
Company Action: Hearing Request and Listing Transfer Bid
ScanTech AI Systems responded by requesting a hearing before the Nasdaq Hearings Panel and paying the required fee. That request triggers an automatic 15-day stay of any suspension because of the reporting deficiency. The stay buys limited time while the company prepares for the hearing.
The company applied on November 6 to transfer its listing to the Nasdaq Capital Market. That venue carries a lower market-value threshold of $35 million. The application remains under review, which could provide a fallback if the hearing fails to reverse the delisting decision.
The firm maintains that its day-to-day business continues despite the listing threat, and it plans to present a compliance plan covering both market value and reporting issues. The outcome now hinges on the Nasdaq hearing and the listing-transfer application. The next few days will determine whether STAI retains its public exchange status.
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