Tantech regains compliance with NASDAQ bid price rule

LISHUI, China - Tantech Holdings Ltd (NASDAQ:TANH) has successfully regained compliance with the NASDAQ’s minimum bid price requirement, the company announced Monday. The notification from NASDAQ, received on February 28, 2025, marks the closure of the compliance issue for the China-based enterprise. According to InvestingPro data, the company maintains a strong financial health score of "GOOD," with notably robust liquidity metrics.

Tantech Holdings, known for its bamboo charcoal-based products and electric vehicles, including street sweepers, had been under scrutiny for not meeting the NASDAQ Listing Rule 5550(a)(2). This rule mandates that listed securities maintain a minimum bid price of $1.00 per share. The recent confirmation from NASDAQ indicates that Tantech has addressed the bid price deficiency, although the specific details of how compliance was achieved were not disclosed in the press release. The company, currently valued at $3.46 million in market capitalization, maintains a healthy current ratio of 6.99 and holds more cash than debt on its balance sheet.

With a decade of experience in high-tech product development and a diversification into vehicle manufacturing since 2017, Tantech has established a presence both domestically and internationally. The company’s subsidiaries, including Lishui Smart New Energy Automobile Co., Ltd. and Zhejiang Shangchi New Energy Automobile Co., Ltd., focus on the production and sale of various electric vehicles. Tantech’s commitment to quality is reflected in its ISO 90000 and ISO 14000 certifications and numerous awards for its products and scientific research. Financial data from InvestingPro shows the company generated revenue of $49.1 million in the last twelve months, with a gross profit margin of 22.24%.

The company also operates through its subsidiary, First International Commercial Factoring (Shenzhen) Co., LTD, which provides commercial factoring services for businesses within its supply chain.

While the press release includes forward-looking statements regarding Tantech’s plans and objectives, these are identified as subject to various risks and uncertainties. These forward-looking statements are qualified by cautionary notes, emphasizing that they are not guarantees of future performance and that the company is not obligated to update them. InvestingPro subscribers have access to 13 additional investment tips and comprehensive financial metrics for deeper analysis of Tantech’s performance and potential.

The news of regaining NASDAQ compliance is based on a press release statement from Tantech Holdings Ltd. This development is expected to be of interest to investors and stakeholders monitoring the company’s adherence to stock market regulations.

In other recent news, Tantech Holdings Ltd announced a one-for-forty share consolidation of its common shares. This move is set to take effect on February 13, 2025, and aims to ensure compliance with NASDAQ Marketplace Rule 5550(a)(2) to maintain its listing status. Following the consolidation, every forty common shares will automatically convert into one common share, significantly reducing the number of outstanding common shares from approximately 47.56 million to nearly 1.19 million. Shareholders are not required to take any action, and no fractional shares will be issued, with fractions being redeemed by the company at the closing price on the effective date. The authorized number of shares the company can issue remains unchanged despite the consolidation. This development marks an important step for Tantech Holdings as it continues its operations in bamboo charcoal-based products and automotive manufacturing. The company has been active in expanding its automotive operations, including electric vehicle production, and maintains ISO certifications for its products. These recent developments are part of Tantech’s ongoing efforts to strengthen its market position and operational efficiency.

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