Key Takeaways:
- AVAX One regained Nasdaq compliance after a 1-for-12 reverse stock split.
- The firm holds 14 million AVAX tokens valued at about $95 million.
- Its $40.5 million market cap trades below its crypto holdings value.
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AVAX One regains Nasdaq compliance after 1-for-12 reverse stock split
AVAX One Technology Ltd. reclaimed compliance with Nasdaq's minimum bid price rule after executing a 1-for-12 reverse stock split, the company said Thursday.
"We are pleased to have regained compliance with Nasdaq's minimum bid price requirement and appreciate the trust our shareholders have placed in us throughout this process," Pete Wylie, interim chief executive officer at AVAX One, said in a statement.
Nasdaq confirmed the West Palm Beach, Florida-based firm's closing bid price stayed at or above $1 for 10 consecutive trading days from June 15 through June 29, closing the matter. The reverse stock split cut the company's share count to about 7.7 million from over 92.3 million. AVAX One holds roughly 14 million AVAX tokens valued near $95 million, staked at approximately 6% net yield, alongside Bitcoin mining operations in Alberta, Canada, and Ohio.
The company's market cap of about $40.5 million sits below the value of its crypto holdings, a discount that has pushed several digital asset treasury stocks toward exchange minimums this year. AVAX One is exploring AI infrastructure projects targeting the 5-to-50-megawatt "missing middle" band, a diversification push that could generate cash flow independent of AVAX token price. AVAX shares finished at $5.43 Thursday, up 3.6% on the day but down 70% year to date.
The compliance clearance follows a broader pattern for publicly listed crypto treasury vehicles, several of which have seen their share prices diverge from the value of the tokens they hold. Wylie shifted from chief operating officer into the interim CEO role last week after previous CEO Jolie Kahn departed. The board is searching for a permanent chief executive.
The Avalanche network's native AVAX token traded at $6.71 Thursday, up more than 4% on the day but down 50% since the start of the year and 95% from its 2021 peak near $145.
This article is for informational purposes only and does not constitute investment advice.
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