Mullen Automotive (NASDAQ:MULN) stock will continue to trade on the Nasdaq, as the electric vehicle (EV) company has announced that it has regained compliance with Nasdaq’s minimum bid price requirement of $1. The company regained compliance after initiating a 1-for-100 reverse stock split and having a closing price of at least $1 for 20 consecutive trading days. Since 2023, Mullen has now initiated reverse splits in a cumulative ratio of 1-for-22,500.
However, Mullen is still on the hook for another compliance issue, although this one will be much easier to resolve than the minimum bid price requirement. Mullen held its last annual meeting on Aug. 3, although Nasdaq stated that the meeting did not comply with Listing Rule 5620(a) because the company did not provide shareholders a chance to discuss company matters with management.
MULN Stock: Mullen Regains Nasdaq Minimum Bid Price Compliance
Nasdaq provided the company with a deadline of March 8 to hold an eligible meeting. Mullen already has plans to resolve the issue, as it has scheduled a meeting for Feb. 29. The meeting will act as a combined 2023 and 2024 annual meeting, while the date of record has been set to the close of business on Jan. 12. As of the record date, there were 5.88 million shares of common stock, 648 shares of Series A preferred stock and 1.21 million shares of Series C preferred stock outstanding. Up for vote are a total of four proposals.
Proposal 1 seeks to nominate William Miltner and John Anderson as Class III Directors for a three-year term. Next, Proposal 2 seeks approval to ratify the appointment of RBSM as Mullen’s independent registered public accounting firm for the fiscal year ending Sept. 30, 2024. RBSM previously served as Mullen’s accountant for the fiscal year ended Sept. 30, 2023 after replacing Daszkal Bolton.
Finally, Proposal 3 and Proposal 4 serve as customary measures. Proposal 3 seeks approval for an adjournment of the meeting if the first two proposals are not approved. Meanwhile, Proposal 4 details the company’s wish to transact business as usual before the meeting and any possible adjournments.
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On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
