zSpace, Inc. 8-K

What Happened

• zSpace, Inc. announced it received a Nasdaq delisting determination after Nasdaq found the company's common stock had a closing bid price of $0.10 or less for ten consecutive trading days (determination communicated April 21, 2026).
• The company had earlier received a notice on December 11, 2025 that it was not in compliance with the $1.00 minimum bid price rule (Nasdaq Rule 5550(a)(2)) and was given a 180-day cure period through June 9, 2026. zSpace implemented a 1-for-25 reverse stock split (certificate filed April 16, effective 11:59 p.m. ET April 20, 2026) and shares began trading on a split-adjusted basis April 21, 2026.
• Nasdaq will suspend trading at the open on April 28, 2026 and file Form 25‑NSE to remove the company’s securities from the Nasdaq Capital Market. zSpace intends to appeal the delisting decision to a Nasdaq Hearings Panel by 4:00 p.m. ET on April 28, 2026; a timely appeal will stay the formal removal filing but will not prevent the trading suspension.

Key Details

• Reverse split: 1-for-25 (filed April 16, 2026; effective April 20, 2026 at 11:59 p.m. ET; trading adjusted April 21, 2026).
• Initial Nasdaq non-compliance notice: December 11, 2025 for failing to maintain minimum $1.00 bid price; 180-day cure period through June 9, 2026.
• Delisting trigger: closing bid price of $0.10 or less for 10 consecutive trading days (Nasdaq Rule 5810(c)(3)(A)(iii)); Nasdaq’s delisting determination communicated April 21, 2026.
• Trading suspension date: at the open on April 28, 2026; company will file timely appeal to stay removal from Nasdaq but not the suspension.

Why It Matters

• A Nasdaq delisting determination and suspension of trading can sharply reduce liquidity and make it harder for shareholders to buy or sell shares.
• Even though zSpace has filed a reverse split and plans to appeal, the company disclosed there is no assurance the appeal will succeed; the appeal can delay formal removal but not the immediate trading suspension.
• Investors should be aware of the increased market and regulatory risks until the Panel issues a decision or Nasdaq grants relief.