American Battery Tech regains Nasdaq compliance

EditorAhmed Abdulazez Abdulkadir
Published 01/08/2025, 12:07 PM
ABAT
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RENO, NV - American Battery Technology Company (NASDAQ:ABAT), a $165 million market cap player in the nonmetallic mineral mining sector, announced today that it has regained compliance with Nasdaq's minimum bid price requirement. The company received a notification from Nasdaq on January 7, 2025, confirming that its common stock's closing bid price has been at $1.00 per share or greater for over 10 consecutive business days, from December 19, 2024, to January 6, 2025.

The compliance with Listing Rule 5550(a)(2) is a significant milestone for the Nevada-based company, formerly known as American Battery Metals Corp and Oroplata Resources, Inc., that has undergone name changes in 2019 and 2013, respectively.

The achievement ensures that American Battery Technology Company's stock will continue to be listed on the Nasdaq Stock Market, providing liquidity and accessibility to investors. According to InvestingPro data, the stock has shown strong momentum with an 86% return over the past six months, despite recent volatility.

The company, with its headquarters located at 100 Washington Street, Suite 100, Reno, NV, operates in the mining and quarrying of nonmetallic minerals sector, excluding fuels. The return to compliance comes as a piece of welcome news for the company's stakeholders and underscores the company's efforts to maintain the standards required for continued listing on a major stock exchange. Analysts tracked by InvestingPro maintain a strong buy rating on the stock with a $9 price target, while forecasting significant revenue growth of over 300% for the current fiscal year.

This development is based on the information provided by American Battery Technology Company in its recent 8-K filing with the Securities and Exchange Commission. The company's CEO, Ryan Melsert, signed off on the filing dated January 8, 2025, affirming the accuracy of the reported compliance status. The company's fiscal year-end is June 30, and it is incorporated in the state of Nevada with an IRS employer identification number of 33-1227980.

Investors and market watchers may view the regained compliance as a positive indicator of the company's market position and financial health. While InvestingPro analysis shows the company maintains a moderate debt level with a debt-to-equity ratio of just 0.04, it's important to note that the company is not yet profitable. As with all investments, it is important to consider a wide range of factors when evaluating the potential of a company's stock. InvestingPro subscribers have access to over 10 additional key insights and detailed financial metrics for ABAT. The information reported here is based on a press release statement and provides a factual account of American Battery Technology Company's recent regulatory compliance achievement.

In other recent news, American Battery Technology Company has been making significant financial and operational strides. The company has amended its Securities Purchase Agreement, altering the conversion rate terms for the outstanding notes, and increasing the principal amount of notes that can be converted into common stock. This change affects the remaining $9,000,000 of principal across the notes. The company also secured $5 million in funding through a registered direct offering with institutional investors and $12 million through senior secured convertible notes with High Trail Investments ON LLC and High Trail Special Situations LLC.

On the operational front, American Battery Technology received a $150 million grant from the U.S. Department of Energy for the construction of a second commercial-scale lithium-ion battery recycling facility. It also announced plans to construct a refinery capable of producing 30,000 tons of lithium hydroxide annually, supported by a $57.5 million U.S. Department of Energy grant. Further, the company joined the U.S. Department of Energy's Battery Workforce Challenge, an initiative for the electric vehicles and battery technology sectors.

However, the company faces a risk of being delisted from the Nasdaq Capital Market due to non-compliance with Nasdaq's minimum bid price requirement. It has been given a grace period until June 17, 2025, to regain compliance. Despite this, analysts from InvestingPro forecast a 311% revenue growth for the company in FY2025.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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