Hyliion Regains Compliance with NYSE Continued Listing Standards

Rhea-AI Summary

Hyliion Holdings Corp. (HYLN) has regained compliance with NYSE listing criteria, ensuring continued trading on the exchange after resolving the minimum price deficiency.

Insights

Market Research Analyst

Hyliion Holdings Corp.'s recent compliance with the NYSE's minimum price criteria is a notable development for the company and its investors. The firm's ability to maintain a stock price above the $1.00 threshold is a positive signal, as it reflects investor confidence and market valuation that aligns with NYSE standards. It is important to note that stocks trading below the $1 mark are often perceived as 'penny stocks,' which can be associated with higher volatility and risk. Therefore, Hyliion's rebound is likely to improve its appeal to institutional investors and could potentially lead to increased liquidity.

However, it is essential to consider the underlying causes that led to the initial non-compliance. If the price recovery was due to short-term catalysts without substantial improvements in business fundamentals, the long-term sustainability of the stock price above $1.00 could be at risk. Investors should examine Hyliion's operational performance, market position and growth prospects in the sustainable energy sector to assess the likelihood of continued compliance and overall financial health.

Financial Analyst

Regaining compliance with the NYSE's listing requirements removes the immediate threat of delisting, which can be detrimental to a company's reputation and access to capital markets. Delisting typically leads to lower visibility among investors and can restrict access to equity financing. Hyliion's correction of the stock price issue is, therefore, a critical step in maintaining its financial strategies and ensuring access to a broad investor base.

For current and potential shareholders, the compliance notice serves as an indicator of stability and may positively influence investor sentiment. However, investors should perform a thorough analysis of Hyliion's financial statements, paying close attention to revenue growth, profit margins and cash flow. These metrics will provide a more comprehensive understanding of the company's financial trajectory and its ability to sustain compliance with market regulations in the face of industry-specific challenges such as competition, regulatory changes and technological advancements.

Sustainability Analyst

Hyliion's focus on sustainable electricity-producing technology positions it within a rapidly evolving and increasingly important industry. The transition to sustainable energy sources is a global priority and companies like Hyliion that contribute to this shift are subject to significant market opportunities. However, they also face intense competition and regulatory pressures. The company's ability to regain and maintain its stock price above the NYSE's minimum threshold could be reflective of the market's validation of its technological solutions and business model.

It is crucial to assess the company's technology portfolio, intellectual property and partnerships within the industry. The long-term success of Hyliion will likely hinge on its ability to innovate, scale its solutions and integrate into the larger ecosystem of renewable energy and transportation. Investors with an interest in sustainability should consider the company's potential impact on environmental goals and the scalability of its technology when evaluating its investment worthiness.

AUSTIN, Texas--(BUSINESS WIRE)-- Hyliion Holdings Corp. (NYSE: HYLN) (“Hyliion”), a developer of sustainable electricity-producing technology, today announced that it received formal notice from the New York Stock Exchange (the "NYSE") on March 1, 2024, confirming that it has successfully regained compliance with continued listing minimum price criteria outlined in Section 802.01C of the NYSE Listed Company Manual. As a result, Hyliion will be removed from the NYSE’s noncompliant issuers list and will continue to be traded on the NYSE.

Previously, the NYSE had notified Hyliion that it was not in compliance with NYSE’s continued listing minimum price criteria, citing the average closing price of Hyliion’s common shares falling below $1.00 over a consecutive 30-trading-day period. On February 29, 2024, both the closing share price for Hyliion’s common stock and the average closing share price of Hyliion’s common stock over the 30-trading-day period ended on the same date had surpassed the $1.00 threshold, thereby resolving the deficiency.

About Hyliion

Hyliion is committed to creating innovative solutions that enable clean, flexible and affordable electricity production. The Company’s primary focus is to provide distributed power generators that can operate on various fuel sources to future-proof against an ever-changing energy economy. Headquartered in Austin, Texas, and with research and development in Cincinnati, OH, Hyliion is addressing the commercial space first with a locally-deployable generator that can offer prime power, peak shaving, and renewables matching. Beyond stationary power, Hyliion will address mobile applications such as vehicles and marine. The KARNO generator is a fuel-agnostic solution, enabled by additive manufacturing, that leverages a linear heat generator architecture. The Company aims to offer innovative, yet practical solutions that contribute positively to the environment in the energy economy. For further information, please visit www.hyliion.com.

Forward Looking Statements

The information in this press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of present or historical fact included in this press release, regarding Hyliion and its future financial and operational performance, as well as its strategy, future operations, estimated financial position, estimated revenues, and losses, projected costs, prospects, plans and objectives of management are forward looking statements. When used in this press release, including any oral statements made in connection therewith, the words “could,” “should,” “will,” “may,” “believe,” “anticipate,” “intend,” “estimate,” “expect,” “project,” the negative of such terms and other similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. These forward-looking statements are based on management’s current expectations and assumptions about future events and are based on currently available information as to the outcome and timing of future events. Except as otherwise required by applicable law, Hyliion expressly disclaims any duty to update any forward-looking statements, all of which are expressly qualified by the statements herein, to reflect events or circumstances after the date of this press release. Hyliion cautions you that these forward-looking statements are subject to numerous risks and uncertainties, most of which are difficult to predict and many of which are beyond the control of Hyliion. These risks include, but are not limited to, our status as an early stage of the Company with a history of losses; our expectation of incurring significant expenses and continuing losses for the foreseeable future; our ability to develop key commercial relationships with suppliers and customers; our ability to retain the services of Thomas Healy, our Chief Executive Officer; the expected performance of the KARNO generator and system; the execution of the strategic shift from our powertrain business to our KARNO business, and the other risks and uncertainties described under the heading “Risk Factors” in our SEC filings including in our Annual Report (See item 1A. Risk Factors) on Form 10-K filed with the Securities and Exchange Commission (the “SEC”) on February 13, 2024 for the year ended December 31, 2023. Given these risks and uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. Should one or more of the risks or uncertainties described in this press release occur, or should underlying assumptions prove incorrect, actual results and plans could differ materially from those expressed in any forward-looking statements. Additional information concerning these and other factors that may impact Hyliion’s operations and projections can be found in its filings with the SEC. Hyliion’s SEC Filings are available publicly on the SEC’s website at www.sec.gov, and readers are urged to carefully review and consider the various disclosures made in such filings.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240304512008/en/

Hyliion Holdings Corp.

press@hyliion.com

Investor Relations

ir@hyliion.com

Source: Hyliion Holdings Corp.

FAQ

What is the recent announcement by Hyliion Holdings Corp. (HYLN)?

Hyliion Holdings Corp. announced that it has regained compliance with NYSE listing criteria, ensuring continued trading on the exchange.

What was the reason behind Hyliion Holdings Corp. (HYLN) receiving a notice from the NYSE?

Hyliion Holdings Corp. received a notice from the NYSE due to not complying with the continued listing minimum price criteria outlined in the NYSE Listed Company Manual.

What led to Hyliion Holdings Corp. (HYLN) being removed from the NYSE's noncompliant issuers list?

Hyliion Holdings Corp. was removed from the NYSE's noncompliant issuers list after resolving the deficiency in the average closing price of its common shares falling below $1.00 over a consecutive 30-trading-day period.

When did Hyliion Holdings Corp. (HYLN) resolve the deficiency in its common stock price?

Hyliion Holdings Corp. resolved the deficiency in its common stock price on February 29, 2024, with both the closing share price and the average closing share price over the 30-trading-day period surpassing the $1.00 threshold.