Novonix adjusts ADS ratio to address Nasdaq price requirement

Novonix Limited (NASDAQ: NVX, ASX: NVX) has agreed with The Bank of New York Mellon to change the ratio of its American Depositary Shares to ordinary shares, according to a company statement.

The current ratio of one ADS representing four ordinary shares will shift to one ADS representing 40 ordinary shares. The change carries the same effect as a one-for-ten reverse split of existing ADSs, with every 10 existing ADSs exchanged for one new ADS. The new ratio is expected to take effect on Aug. 27, 2026. The company's ADSs will continue trading on Nasdaq under the ticker symbol "NVX."

The adjustment will not affect the number of Novonix ordinary shares on issue or the company's shares listed on the ASX.

The ratio change follows a written notification Novonix received from Nasdaq's Listing Qualifications Department on March 18, 2026, stating the company was not in compliance with Nasdaq's minimum bid price requirement. The notification was triggered after the closing bid price of the company's ADSs remained below $1.00 per ADS for 30 consecutive business days.

Under Nasdaq Listing Rules, the company was given 180 calendar days to regain compliance. To meet the requirement, the closing bid price must reach at least $1.00 per ADS for a minimum of 10 consecutive business days within that period.

Novonix stated the ADS ratio change is intended to increase the per-ADS trading price and assist in regaining compliance, but noted there is no assurance the adjustment will result in the company regaining or maintaining compliance with the minimum bid price requirement.

You May Also Be Interested In

• Polar Power adds two directors with defense and business experience
• eXoZymes reports 10-fold productivity gain in NCT manufacturing
• Tonix Pharma CEO named interim chief medical officer