PINELLAS PARK — Alternative fuel company Taronis Technologies Inc. is appealing a move by Nasdaq to de-list it for failing to maintain share prices of at least $1.
The company, formerly known as "MagneGas," received a letter from the exchange May 7 indicating it would be de-listed at market opening Thursday. The appeal would temporarily delay the de-listing process.
"It could take several months to go through this process," said CEO Scott Mahoney.
According to the Nasdaq letter, Taronis’ shares closed at less than $1 for 30 consecutive days ending on May 7, 2018. The company was given until the following November to bring its shares back up to at least $1.
The company’s shares have traded for under $1 since Feb. 4. Its highest trading price was $12.20 per share in mid May of last year. It closed at 44 cents per share Monday.
Mahoney attributed the low share prices to "fear and doubt."
"There are a lot of people on message boards that prey on investors’ fears," he said. "The reality is, the business has never been stronger."
To regain its standing with the exchange, Taronis would need to show a plan to become compliant again and be approved to maintain its listing. One way to bring up the share price would be to reduce the amount of available shares for the company in a "reverse split," which Taronis did earlier this year when it rebranded. Mahoney did not rule this possibility out, but said he would "prefer not to."
Contact Malena Carollo at [email protected] or (727) 892-2249. Follow @malenacarollo.