Prior to this week, it had been uncertain whether or not Power Solutions International Inc (NASDAQ:PSIX) / (OTCMKTS:PSIX) would be delisted from the NASDAQ or not, based upon the company’s non-compliance with filing requirements. Specifically, for failure to file its 10-K (Annual Report) for 2016.
Despite exerting efforts to have NASDAQ listing officials stay the order of delisting, it now appears as if the company’s stock is headed for the OTC Pinksheets until such time as it can come current on its filings.
On Monday, Power Solutions International Inc (NASDAQ:PSIX) / (OTCMKTS:PSIX) received notification from The NASDAQ Stock Market LLC (“Nasdaq”) that the Hearings Panel has determined to delist the Company’s common stock from Nasdaq, and will suspend trading in the shares effective at the open of business on April 19, 2017. The Nasdaq Hearings Panel’s determination was made in connection with the Company’s non-compliance with Securities and Exchange Act (“SEC”) filing requirements as set forth in Nasdaq Listing Rule 5250(c)(1).
Following the suspension of trading on Nasdaq, the Company expects its common stock will be quoted on the OTC Pink market electronic quotation service operated by OTC Markets Group Inc. until such time as the Company becomes current in its reporting obligations with the SEC and seeks to relist the common stock on a national exchange. The common stock will continue to trade under the symbol PSIX.
Ray Anderson, interim chief executive officer, commented, “While we are disappointed with the Nasdaq delisting, it does not in any way impact our strategic collaboration agreement with Weichai, our business activities, or our valued relationships with customers, suppliers and employees. We remain focused on driving the adoption of our engines and technologies across the globe as we strive to generate sustainable sales growth and profitability. At the same time, we continue to diligently work to restate our financials and become current with our reporting obligations with the SEC. Once that process is complete, we will seek to relist the Company’s common stock on a major exchange. We are appreciative of Weichai’s support as we work to become compliant and look forward to executing on the multiple growth and cost savings opportunities we believe we can achieve through our partnership.”
The Company currently anticipates completing the restatement and becoming current with all of its SEC filings by August of 2017; however, there can be no assurance that the process will be completed by that time. (Source: Globe Newswire)
This drastic turn of events for PSIX comes just a little over two weeks following its announcement that Lexington, KY-based CLARK Material Handling was to launch a new forklift product featuring the company’s 2.4-liter propane engine at the ProMat 2017 Expo, which is the largest expo for material handling and logistics equipment and technologies in North America, and took place in Chicago, April 3-6. (Source: Globe Newswire)
Not to mention the fact that less than a week prior to that, Mitsubishi Fuso Truck of America, Inc. (FUSO) has launched a new series of medium-duty cabover trucks powered by PSI 6.0-liter gasoline engines. (Source: Globe Newswire)
That’s why, despite the fact that a big-board delisting to the Pink Sheets is no laughing matter, we’re pretty eager to see how things play out for PSIX, whether it trades over-the-counter or on a higher exchange. The company’s products are being used in the real world, and that’s primarily what interests us. Stay tuned to Street Register for more updates on PSIX, and be sure you’ve gotten signed up for our free smallcap newsletter. Submit your email address in the box below and you’re all set!
Disclosure: No one at Street Register has been compensated in any way for the publishing of this article, nor do we hold any position in PSIX stock, short or long.