ScanTech AI Faces Nasdaq Delisting After Failing Market Value Rules

Trading in ScanTech AI shares on the Nasdaq exchange was suspended yesterday, marking a significant setback for the security services provider. The delisting decision came after the company could no longer meet the exchange's minimum requirements for the market value of its publicly held shares. This forced exit raises immediate questions about the firm's future trajectory and its next steps for maintaining a public market for its equity.

The fundamental catalyst for this action was a breach of Nasdaq's listing rules. On February 4, ScanTech AI received a deficiency notice because the market value of its publicly held shares had fallen below the required $15 million threshold. An official delisting notification followed just two days later. Despite a brief period where the company restored compliance in other areas by the end of 2025, a recent review by the Nasdaq Hearings Panel concluded that the stock should not continue its listing, leading to the suspension effective February 10.

The company's precarious financial state is underscored by its latest earnings report. For the first nine months of 2025, ScanTech posted a substantial net loss of $34.5 million. This stands in stark contrast to its third-quarter revenue, which amounted to only approximately $631,000.

Investor Confidence and Share Price Collapse

These weak fundamentals severely eroded investor confidence. On Monday, February 9—the last full trading day before the suspension—the stock price plummeted by roughly 40%, closing at $0.90. With yesterday's formal halt, all liquidity for the shares on the Nasdaq has ceased.

Should investors sell immediately? Or is it worth buying ScanTech AI?

Seeking an Alternative Trading Venue

In response to the delisting, ScanTech AI's management is now pursuing an alternative to provide shareholders with a marketplace. The company intends to apply for a listing on the OTCQB Venture Market. This segment of the over-the-counter markets is specifically designed for developmental-stage companies.

Concurrently, ScanTech retains a 15-day window to appeal the decision to the Nasdaq Listing and Hearing Review Council. It is important to note that such an appeal would only halt the current trading suspension if the exchange explicitly grants a stay. Barring a successful appeal, the focus for investors will shift entirely to the potential transition to over-the-counter trading.

Key Details:
* Event: Trading suspension on Nasdaq effective February 10.
* Primary Reason: Failure to maintain a minimum $15 million market value of publicly held shares.
* Financial Performance: $34.5 million net loss reported for the nine-month period in 2025.
* Final Nasdaq Close: Share price fell 40% to $0.90 on February 9.