Local Bounti Warned by NYSE Over Market Cap, Equity Below $50M
On February 5, Local Bounti received a NYSE notice for noncompliance with Section 802.01B after its 30-day average market capitalization and shareholders’ equity both fell below $50 million. The company will submit a compliance plan within 45 days and has nine months to cure or face delisting.
1. NYSE Listing Notice
Local Bounti received a notice on February 5 for noncompliance with Section 802.01B of the NYSE listing standards after its 30-trading-day average global market capitalization and stockholders’ equity each fell below $50 million. The notice confirms the company’s common stock will continue trading during the cure period with no immediate delisting action.
2. Compliance Plan and Cure Period
The company must submit a definitive action plan within 45 days and achieve compliance within nine months or face potential delisting. Local Bounti is evaluating options such as capital raises, asset sales or strategic partnerships to restore its market capitalization and equity balance but cannot guarantee a successful outcome.