John Larson, the President and CEO of Solo Brands, stated that despite the NYSE's notification, the company's operations, strategic priorities, and financial position remain unchanged. He emphasized that the company is committed to transparency and will continue to engage with investors through SEC filings and earnings calls. Larson reassured stakeholders that the company is focused on building a lean, profit-driven organization and is prioritizing cash flow generation to reduce debt over time. The company aims to improve profitability and position itself for a return to a national exchange.
In light of the suspension and potential delisting, Solo Brands' common stock is expected to begin trading on the OTCQB Venture Market under the symbol 'SBDS' starting April 6, 2026. However, there is no guarantee that a broker will continue to make a market in the company's common stock or that trading will persist on the OTCQB Market or elsewhere.
The company has the right to appeal the delisting determination to a Committee of the Board of Directors of the NYSE and is currently evaluating this option. If the company does not appeal or if the appeal is unsuccessful, the NYSE will file a Form 25 with the SEC to officially delist the company's stock from the NYSE and from registration under Section 12(b) of the Securities Exchange Act of 1934. The delisting will take effect 10 days after the filing of the Form 25.
This situation raises concerns about the company's liquidity and operational execution, as the transition to the OTCQB Market may affect investor confidence and trading volume. The company's ability to maintain compliance with regulatory requirements and its strategic outlook will be closely monitored by investors and analysts alike.
