TechPrecision Corporation Receives Notice of Non-Compliance from Nasdaq
On February 21, 2025, TechPrecision Corporation (TPCS) received a notice from The Nasdaq Stock Market’s Listing Qualifications Department stating that the company is not in compliance with Nasdaq Listing Rule 5250(c)(1). This rule requires companies to timely file their Quarterly Reports on Form 10-Q with the Securities and Exchange Commission (SEC).
The Violation
TechPrecision had not filed its Form 10-Q for the period ended December 31, 2024, on or before February 19, 2025, the extended period provided for the filing under Rule 12b-25(b) of the Securities Exchange Act of 1934, as amended. The notice indicated that the Company has 60 calendar days, or until April 22, 2025, to submit a plan to regain compliance.
Possible Consequences for TechPrecision
If TechPrecision fails to submit a plan to regain compliance within the given time frame, its common stock will be subject to delisting from The Nasdaq Stock Market. Delisting means that the company’s shares can no longer be traded on Nasdaq, which could negatively impact the company’s ability to raise capital and could decrease liquidity for its shareholders.
Nasdaq’s Discretion
The notice also stated that Nasdaq can grant an exception of up to 180 calendar days from the Form 10-Q due date, or until August 18, 2025, to regain compliance. This decision is at Nasdaq’s discretion and depends on the Company’s ability to demonstrate a clear plan to regain compliance.
Impact on TechPrecision Shareholders
The delay in filing the Form 10-Q may cause uncertainty for TechPrecision shareholders. The lack of timely financial information may make it more difficult for investors to make informed decisions about their investments in the company. Additionally, the potential for delisting could negatively impact the stock price and decrease liquidity.
Impact on the World
TechPrecision’s failure to file its Form 10-Q on time may also have broader implications. The timely filing of financial reports is essential for maintaining transparency and investor confidence in the financial markets. A delay in filing can create uncertainty and potentially lead to a loss of trust in the company and the financial reporting system as a whole.
Conclusion
TechPrecision Corporation’s failure to file its Quarterly Report on Form 10-Q on time has resulted in a notice of non-compliance from The Nasdaq Stock Market. The company has 60 days to submit a plan to regain compliance, and Nasdaq may grant an additional 120 days if the Company demonstrates a clear plan to regain compliance. The delay in filing may cause uncertainty for investors and potentially lead to a loss of trust in the company and the financial reporting system if the issue is not resolved promptly.
- TechPrecision Corporation failed to file its Quarterly Report on Form 10-Q on time.
- The company received a notice of non-compliance from The Nasdaq Stock Market.
- TechPrecision has 60 days to submit a plan to regain compliance.
- Nasdaq may grant an additional 120 days if the Company demonstrates a clear plan to regain compliance.
- Failure to file on time may cause uncertainty for investors and potentially lead to a loss of trust in the company and the financial reporting system.
