Ideanomics to be Delisted from Nasdaq

NEW YORK – Ideanomics, Inc. (NASDAQ:IDEX (NYSE:IEX)), a company specializing in motor vehicles and passenger car bodies, is set to be delisted from The Nasdaq Capital Market. The company received a notice from Nasdaq on Monday, citing noncompliance with certain listing rules as the reason for delisting.

According to the notice, trading of Ideanomics' common stock on Nasdaq will be suspended at market open on Thursday, following the company's failure to meet the minimum bid price and market value of publicly held shares required by Nasdaq Listing Rules 5550(a)(2) and 5550(b)(2).

Ideanomics intends to transition its common stock and warrants to the OTC Markets’ OTCQX market tier, subject to approval. In the interim, the company expects its common stock to begin trading on the OTC Markets’ Pink Current Information tier under the same ticker symbol " IDEX " from Thursday.

The move to the OTC Markets is not anticipated to affect Ideanomics' business operations. The company will continue to comply with its SEC reporting obligations, making its filings available on the SEC's website.

In other recent news, Ideanomics has been busy securing new financial agreements and revising existing ones. The company has amended a promissory note with Tillou Management, promising to repay a principal amount of $7.86 million, which includes an additional $600,000 advance. Additionally, Ideanomics has issued a Warrant to Purchase Common Stock to Tillou and completed the sale of a new Secured Convertible Debenture to YA II PN, Ltd., earmarking the proceeds for audit, tax, and legal fees related to public filings.

Furthermore, the company has increased its loan agreement with Tillou Management and Consulting LLC to $7,217,095, which includes a new $3,000,000 advance. This move consolidates previous unpaid fees and expenses. Ideanomics has also adjusted its Standby Equity Purchase Agreement (SEPA) with YA II PN, LTD., enhancing its option to sell up to 10,000,000 shares of common stock during the commitment period.

In tandem with these financial developments, Ideanomics' subsidiary, Solectrac, is shifting its business strategy towards direct-to-consumer sales and strategic partnerships. Solectrac has sold over 60 electric tractors through the Clean Off-Road Equipment Voucher Incentive Project in California and is participating in a yearlong pilot program with the North Carolina Zoo, aimed at reducing greenhouse gas emissions. These are among the recent developments at Ideanomics, reflecting the company's ongoing strategic and financial planning.

InvestingPro Insights

As Ideanomics (NASDAQ:IDEX) prepares for its transition to the OTC Markets following its delisting from The Nasdaq Capital Market, investors might consider the company's financial health and market performance. According to InvestingPro data, Ideanomics has a market capitalization of $17.86 million and has experienced a significant revenue growth of 5200% in the last quarter of 2023. However, this uptick contrasts with an overall revenue decline of 18.7% in the last twelve months as of Q4 2023, indicating volatility in the company's revenue streams.

InvestingPro Tips suggest that Ideanomics operates with a significant debt burden and may have trouble making interest payments on its debt. Additionally, the company's short-term obligations exceed its liquid assets, which could pose a liquidity risk. These financial challenges are reflected in the company's stock performance, with a staggering 91.84% decline in its one-year total return as of the current date.

For investors seeking a more comprehensive analysis, there are additional InvestingPro Tips available for Ideanomics at https://www.investing.com/pro/IDEX. To access these insights and more, use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription. With the InvestingPro platform, investors can delve into the company's financials and market performance, enabling informed decision-making in light of the recent delisting news.

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