Zentek Ltd. (TSXV:ZEN, NASDAQ:ZTEK) received a 180‑day extension from Nasdaq to regain compliance with the exchange’s $1.00 minimum bid‑price requirement, setting a new deadline of August 24 2026.
The extension follows an earlier 180‑day period that expired on February 23 2026, during which the company’s bid price fell below the required threshold. The six‑month window allows Zentek to raise additional capital, improve liquidity, or otherwise bring its bid price above $1.00.
The extension is a temporary reprieve; failure to meet the new deadline could trigger a Nasdaq delisting notice, moving the company’s equity onto the over‑the‑counter market and limiting investor access. It underscores the company’s ongoing financial distress and the urgency of securing new funding or restructuring operations.
Zentek’s financials reveal deep losses: for the nine months ended December 31 2025 the company reported a net loss of $6.24 million on revenue of $129,281. Auditors highlighted a material uncertainty about the company’s ability to continue as a going concern due to continuing losses and dependence on future financing. Revenue has grown 74% over the last twelve months, yet the company remains unprofitable with negative margins.
Management has emphasized disciplined execution and capital discipline. Chair John Snisarenko said the board fully supports the strategy, focusing on converting intellectual property into recurring revenue and advancing the Albany graphite project. CEO Mohammed Jiwan added that the company’s goal is to create sustained value by derisking assets and developing credible cash‑flow opportunities, stressing the importance of execution and capital discipline.
The extension signals that Zentek must act quickly to avoid delisting, but it also highlights the company’s persistent challenges and the need for a robust capital‑raising or restructuring plan to restore compliance and protect investor interests.
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