Upexi, Inc. - UPXI STOCK NEWS

Upexi (NASDAQ:UPXI) has filed a complaint in the U.S. District Court for Nevada to investigate and pursue legal action against individuals involved in alleged share manipulation during the company's reverse stock split. Following the split, financial institutions requested 202,183 round-up shares, causing over 19% shareholder dilution and increasing individual shareholders by approximately 40 times. The suspicious activity occurred during a three-day trading period between the split announcement and effective date. Multiple other Nasdaq-listed companies affected by similar manipulation may join as co-plaintiffs or pursue independent legal action.

Upexi (NASDAQ:UPXI) has received a Non Compliance Letter from Nasdaq due to failing to timely file its Form 10-Q Quarterly Report for the period ended September 30, 2024. The company states the delay was due to circumstances beyond its control and plans to file the 10-Q after completing its Form 10-K Annual Report. Upexi has until December 20, 2024, to submit a compliance plan to Nasdaq, which could grant an extension until April 14, 2025. The notice does not immediately affect the stock's listing or trading status.

Upexi (NASDAQ:UPXI) announces investigation into potential stock manipulation related to their recent reverse stock split. Prior to the September 27, 2024 announcement, there were less than 5,000 shareholders of record. Post-split, five brokerage firms requested approximately 199,059 roundup shares out of 202,183 total requested shares, representing about 19% of post-split outstanding shares. This activity, occurring during a 3-day trading period, resulted in a roughly 40-fold increase in individual shareholders. The company's legal team is reviewing the trading activity for possible manipulation.

Upexi (NASDAQ:UPXI), a multi-faceted Amazon and Direct-to-Consumer brand owner, received a Non Compliance Letter from Nasdaq for failing to timely file its Form 10-K Annual Report for the period ended June 30, 2024. The company plans to file the report by November 1, 2024. Additionally, Upexi has regained compliance with Nasdaq's minimum bid price requirement of $1.00 per share, as confirmed by Nasdaq on October 17, 2024, after maintaining the required price from October 3 to October 16, 2024.

Upexi (NASDAQ:UPXI) has provided a shareholder update on its restructuring efforts to reduce debt and increase working capital. The company has eliminated $16.1 million in debt and accrued interest, added $7.4 million in cash to strengthen its balance sheet, and cut approximately $1.5 million in excess operational costs without affecting operations. Key transactions include:

1. Sale of E-core/Neti and Tytan Tiles, reducing debt by $12 million and increasing cash by $2 million.
2. Closure of two Las Vegas locations, reducing workforce by 30% and cutting annual costs by over $1.5 million.
3. Sale of Clearwater, Florida warehouse, eliminating $2.6 million in debt and adding $1.4 million in cash.
4. Sale of a wholly owned subsidiary for $4 million in cash, with potential for $2 million more in the next 15 months.

CEO Allan Marshall expressed confidence in the company's ability to focus on profitability and shareholder value moving forward.

Upexi (NASDAQ:UPXI) reported its financial results for the fiscal third quarter ending March 31, 2024. Revenues decreased by 34% to $14.4 million, primarily due to lower recommerce revenue and the discontinuation of electronic product sales on Amazon. Costs of revenue fell by 19% to $11.6 million, with gross profit decreasing by $1.7 million due to write-offs of obsolete inventory.

Sales and marketing expenses dropped by 32%, and general and administrative expenses decreased by 8%. Despite these reductions, the company reported a net loss of $4.1 million, up from $1.7 million the previous year, largely due to decreased sales and inventory write-offs. Subsequent to the quarter, Upexi continued restructuring, including a new lease agreement and the sale of a warehouse, aiming to ensure sufficient working capital for the next 12 months.

Upexi, a multi-faceted Amazon and Direct-to-Consumer brand owner and innovator in aggregation, announced that it plans to file its Form 10-Q for the period ended March 31, 2024, on July 8, 2024. The delay is due to the closure of the auditor's office during the first week of July.

On June 21, 2024, Upexi (NASDAQ:UPXI), a diversified Amazon and Direct-to-Consumer brand owner, updated shareholders on its delayed Form 10-Q filing for the period ending March 31, 2024. The company received a notice from Nasdaq on June 17, 2024, indicating a non-compliance with listing rules due to the missing report. Upexi has 60 days to submit a compliance plan, potentially extending up to December 11, 2024. However, Upexi aims to file the Form 10-Q by June 30, 2024, avoiding the need for a compliance plan. This notice does not affect the current listing or trading of Upexi's stock.

On June 20, 2024, Upexi (NASDAQ: UPXI) announced a restructuring plan to reduce debt and increase working capital by selling assets. The company sold its wholly-owned subsidiary, VitaMedica, on June 13, 2024, which will help eliminate some existing debt and provide necessary working capital. Additionally, Upexi plans to sell a warehouse in Clearwater, Florida, by mid-July to further reduce debt by $2.6 million and generate $1.4 million in cash. CEO Allan Marshall emphasized that market conditions have made it difficult to raise growth capital, making asset sales the only viable option for debt reduction and future growth. Upexi will continue to assess strategic alternatives, which may include selling other business units. The company also plans to file its quarterly financial statements for the nine months ending March 31, 2024, on June 24, 2024.