SOBR Safe, Inc. Warned of Nasdaq Delisting; Director Resigns

What Happened

• SOBR Safe, Inc. reported that on August 21, 2026 it received a Nasdaq Listing Qualifications letter notifying the company that its stockholders' equity on its Form 10‑Q for the quarter ended June 30, 2026 fell below Nasdaq's $2,500,000 minimum under Rule 5550(b)(1). Nasdaq said this equity deficiency, together with earlier bid‑price issues, could be a basis for delisting.
• The company previously received a March 19, 2026 deficiency notice that its closing bid price had been below $1.00 for 30 consecutive business days and disclosed cumulative reverse stock splits (1‑for‑110 on Oct 2, 2024 and 1‑for‑10 on Apr 4, 2025, cumulative 1‑for‑1,100) that disqualify it from the 180‑day cure period. The company requested a hearing and received a stay; the Hearings Panel allowed continued listing through September 15, 2026 subject to completing a proposed business combination with Clean World Ventures, Inc. and meeting Nasdaq initial listing rules.
• Separately, on August 21, 2026 director Ford Fay resigned from the board effective immediately; the company said the resignation was not due to any disagreement with the company.

Key Details

• Nasdaq notice received: August 21, 2026 (equity deficiency tied to Q2 2026 Form 10‑Q).
• Minimum equity threshold: $2,500,000 (Nasdaq Listing Rule 5550(b)(1)).
• Prior bid‑price deficiency: notice dated March 19, 2026 (closing bid < $1.00 for 30 consecutive business days); cumulative reverse split ratio = 1‑for‑1,100.
• Listing status and deadlines: trading continues under ticker "SOBR"; Hearings Panel granted continued listing until September 15, 2026 conditional on completing the Clean World Ventures business combination and meeting Nasdaq rules. Company may present views on the equity deficiency to the Hearing Panel by August 28, 2026.

Why It Matters

• A Nasdaq delisting determination could reduce liquidity and make SOBR shares harder to trade, potentially affecting share value and investor exit options. The company now faces two separate listing deficiencies (equity and bid price) and has a conditional deadline of September 15, 2026 tied to completing a business combination and meeting listing standards. Management and the board are evaluating options; investors should monitor updates on the hearing process, the proposed business combination with Clean World Ventures, and any further Nasdaq rulings.
• The board change (resignation of Ford Fay) was described as not related to any disagreement and is a material governance update to note, but the filing does not link it to the listing matters.