Still betting on Nvidia? Our AI picked this stock instead; it’s up 96%+ THIS MONTH
Stardust Power Inc. (NASDAQ:SDST), a company specializing in primary smelting and refining of nonferrous metals with a current market capitalization of $34.74 million, has undergone a significant change in its shareholder structure, according to a recent SEC filing. The company’s stock, currently trading at $0.61, has experienced substantial volatility, with InvestingPro data showing a 94.6% decline over the past year. On April 16, 2025, Roshan Pujari, the Chairman of the Board and Chief Executive Officer of Stardust Power, transferred 2,880,000 shares of common stock to an irrevocable trust for a family member’s benefit without any consideration.
This transfer has resulted in Mr. Pujari losing the voting and dispositive power over these shares. Consequently, his ownership has fallen below the 50% threshold required for the company to maintain its "controlled company" status under Nasdaq’s corporate governance standards. According to InvestingPro analysis, the company currently maintains a Weak financial health score, with short-term obligations exceeding liquid assets. As of April 17, 2025, Stardust Power no longer qualifies as a controlled company, which means it is no longer eligible for certain exemptions related to corporate governance on the Nasdaq exchange.
Despite this change, Stardust Power’s corporate governance will remain unaffected. The company had not previously taken advantage of the exemptions available to controlled companies on Nasdaq. Therefore, no adjustments to its governance practices are necessary following this change in shareholder structure.
The shift in shareholder power may attract attention from investors and market observers as it could potentially alter the dynamics of company decision-making and board elections. Stardust Power has not indicated any immediate operational or strategic changes following this development.
This information is based on a press release statement and reflects the company’s current position as of the date of the report. For deeper insights into Stardust Power’s governance structure and financial health, InvestingPro subscribers can access comprehensive analysis through the Pro Research Report, which covers this and 1,400+ other US equities with detailed metrics and expert analysis.
In other recent news, Stardust Power Inc. reported its financial results for 2024, revealing a significant net loss of $23.8 million, a sharp increase from the previous year’s $3.8 million loss. The company’s cash reserves also fell to $900,000 from $1.3 million in 2023, highlighting ongoing financial challenges. Despite these setbacks, Stardust Power raised $4.1 million in Q4 2024 and an additional $5.75 million in January 2025 through financing efforts. The company is focusing on strategic initiatives, including acquiring a 66-acre site in Muskogee, Oklahoma, and securing licensing for KMX Technologies’ Vacuum Membrane Distillation technology to enhance operational efficiency.
Additionally, Stardust Power announced the appointment of Carlos Urquiaga as Senior Advisor, bringing his extensive experience in the finance sector to guide the company through pivotal stages, including capital raising activities. The company also reached a non-binding agreement with Sumitomo Corporation for a potential long-term supply deal for lithium carbonate. Furthermore, Stardust Power has been actively engaging in strategic partnerships and investments, such as acquiring shares in Iris Metals Limited, to explore potential collaborations in lithium feedstock financing. Analyst coverage of the company has expanded, with firms like Maxim Investment Bank recently initiating coverage, reflecting ongoing interest in Stardust Power’s developments.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.