Valence Technology Inc. (Nasdaq: VLNC) founder Carl Berg has saved his company from being booted off Nasdaq exchange.
The Austin energy storage developer was notified Monday its shares had regained the minimum $1 bid price for continued listing on the Nasdaq stock trade. The compliance note this week closely follows Berg's second infusion into the company, this time buying 1.92 million shares for $2 million. In April, he poured about $1 million of his own funds into the business and he now holds a total 41.87 million shares, according to a U.S. Securities and Exchange filing.
Valence needed to increase share value after receiving a delisting notice in June that warned shares had to trade at least $1 for 10 consecutive days before Dec. 27, or face being kicked of the board.
The company, which employs about 490 workers, has struggled to find its financial footing since its 1989 founding. Though it has signed some significant deals, including with a London taxi provider, the world's largest yacht builder and Wrightbus.
Valence posted a 19 percent year-over-year increase in revenue last quarter, or about $5.6 million, while it still netted a $4.7 million. Shares were up 6.25 percent Tuesday morning, selling for about $1.19 per share. They have sold at a high $1.79 and low 64 cents in the past 52 weeks.
Filed under: finance by Specialist