Horizon Aircraft Successful with Nasdaq Listing Requirements

Rhea-AI Summary

Horizon Aircraft (NASDAQ: HOVR), a hybrid electric Vertical Take-Off and Landing (eVTOL) aircraft developer, has received confirmation from Nasdaq's Listing Qualifications Department that it has regained compliance with Listing Rule 5550(b) by meeting the Equity Standard requirements. This ensures the company's continued listing on the Nasdaq Capital Market.

Additionally, regarding the Bid Price Rule (Rule 5550(a)(2)), Nasdaq has granted Horizon Aircraft an extended period of 180 calendar days until July 14, 2025, to achieve compliance.

Positive

• Regained compliance with Nasdaq Listing Rule 5550(b)
• Secured continued listing on Nasdaq Capital Market
• Received 180-day extension for bid price compliance

Negative

• Still needs to meet minimum bid price requirements by July 14, 2025

Insights

Financial Regulatory Expert

The confirmation of Horizon Aircraft's compliance with Nasdaq's equity standard requirements marks a important development for this eVTOL developer. Meeting the equity standard under Rule 5550(b)(1) typically requires maintaining stockholders' equity of at least $2.5 million, demonstrating the company's fundamental financial stability despite market volatility.

The additional 180-day extension to meet the bid price requirement (maintaining a share price above $1.00) until July 14, 2025, provides vital strategic flexibility. This extension is particularly significant for emerging technology companies in capital-intensive sectors like eVTOL, where market recognition often lags behind technological achievements.

Maintaining Nasdaq listing status carries several critical advantages:

• Enhanced access to institutional investors and capital markets
• Increased trading liquidity and market visibility
• Greater credibility with partners and customers
• Improved ability to use stock for strategic transactions

While the equity standard compliance is positive, investors should monitor the company's strategy to address the bid price requirement. Common approaches include organic growth initiatives or corporate actions like reverse stock splits, though the latter would require careful timing and execution to maintain market confidence.

Horizon Aircraft Shares to Remain Listed on Nasdaq

TORONTO, Ontario, Jan. 27, 2025 (GLOBE NEWSWIRE) -- New Horizon Aircraft Ltd. (NASDAQ: HOVR), doing business as Horizon Aircraft (“Horizon Aircraft” or the “Company”), a leading hybrid electric Vertical Take-Off and Landing (“eVTOL”) aircraft developer, announced today that it has received written notice from the Listing Qualifications Department (the “Staff”) of The Nasdaq Stock Market LLC (“Nasdaq”) that the Company has regained compliance with Listing Rule 5550(b), satisfying the Equity Standard in Listing Rule 5550(b)(1). As a result, the Company’s shares will remain listed on the Nasdaq Capital Market.

In addition, as it relates to Listing Rule 5550(a)(2) (the “Bid Price Rule”), the Staff has determined that the Company is eligible for an additional 180 calendar days, or until July 14, 2025, to obtain compliance.

About Horizon Aircraft

Horizon Aircraft (NASDAQ: HOVR) is an advanced aerospace engineering company that is developing one of the world’s first hybrid eVTOL aircraft that is expected to perform most missions similar to a traditional aircraft while offering industry-leading speed, range, and operational utility. Horizon’s unique designs put the mission first and prioritize safety, performance, and utility. Visit www.horizonaircraft.com for more information.

Forward-Looking Statements

The information in this press release contains certain “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “aim,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Actual results may differ from their expectations, estimates and projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including but not limited to: (i) changes in the markets in which Horizon competes, including with respect to its competitive landscape, technology evolution or regulatory changes; (ii) the risk that Horizon will need to raise additional capital to execute its business plans, which may not be available on acceptable terms or at all; (iii) the ability of the parties to recognize the benefits of the business combination agreement and the business combination; (iv) the lack of useful financial information for an accurate estimate of future capital expenditures and future revenue; (v) statements regarding Horizon’s industry and market size; (vi) financial condition and performance of Horizon, including the anticipated benefits, the implied enterprise value, the expected financial impacts of the business combination, the financial condition, liquidity, results of operations, the products, the expected future performance and market opportunities of Horizon; (vii) Horizon’s ability to develop, certify, and manufacture an aircraft that meets its performance expectations; (viii) successful completion of testing and certification of Horizon’s Cavorite X7 eVTOL; (ix) the targeted future production of Horizon’s Cavorite X7 aircraft; and (x) those factors discussed in our filings with the SEC. You should carefully consider the foregoing factors and the other risks and uncertainties that will be described in the “Risk Factors” section of documents to be filed by New Horizon from time to time with the SEC. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward- looking statements, and while Horizon may elect to update these forward-looking statements at some point in the future, they assume no obligation to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise, unless required by applicable law. Horizon does not give any assurance that Horizon will achieve its expectations.

Contacts
Horizon Aircraft Inquiries (PR):
Phil Anderson
Phone: +44 (0)7767 491 519
Phil@perceptiona.com

Investor Contacts:
Shannon Devine and Rory Rumore
MZ Group
Phone: (203) 741-8841
HorizonAircraft@mzgroup.us

FAQ

Has Horizon Aircraft (HOVR) regained Nasdaq listing compliance in January 2025?

Yes, Horizon Aircraft has regained compliance with Nasdaq Listing Rule 5550(b) by meeting the Equity Standard requirements, ensuring continued listing on the Nasdaq Capital Market.

What is the deadline for HOVR to meet Nasdaq's minimum bid price requirement?

Horizon Aircraft (HOVR) has until July 14, 2025, to meet Nasdaq's minimum bid price requirement under Rule 5550(a)(2).

What Nasdaq listing requirements has HOVR satisfied in January 2025?

HOVR has satisfied the Equity Standard requirements under Nasdaq Listing Rule 5550(b)(1).

How long is the extension period granted to HOVR for bid price compliance?

Nasdaq has granted HOVR an additional 180 calendar days, extending until July 14, 2025, to achieve bid price compliance.