CN Energy Group Faces Nasdaq Delisting Over Share Price Issues Amid Ongoing Operations

In a significant development, CN Energy Group, Inc. (NASDAQ: CNEY) announced that it has received a notification from the Nasdaq Stock Market regarding a potential delisting of its Class A ordinary shares. This notice was prompted by the company's share price falling below the necessary minimum bid price requirement, specifically trading below $1.00 per share for 30 consecutive business days, from December 3, 2025, to January 15, 2026. The firm stated that this situation has resulted in it not complying with Nasdaq Listing Rule 5550(a)(2).

This determination by Nasdaq marks a worrying trend for the company, as it reflects ongoing struggles to maintain its share price in a challenging market environment. Moreover, the company’s recent history of reverse stock splits—specifically a 1-for-30 split in January 2024 and a 1-for-25 split in May 2025—complicates their situation further. The cumulative effect of these splits exceeds 250 shares, disqualifying CNEY from any compliance periods or extensions usually available under Nasdaq Listing Rule 5810(c)(3)(A).

In response to the delisting notice, CN Energy Group has taken steps to initiate an appeal to a hearings panel. On January 21, 2026, the company submitted a hearing request, which will temporarily halt the suspension of its shares from trading as well as the filing of the delisting documentation with the Securities and Exchange Commission until the panel reaches a decision. During this period, the company needs to articulate a solid recovery plan to convince the panel to grant it an exception to address the identified deficiencies.

The appeal process represents a crucial juncture for CN Energy Group as it navigates these challenges while continuing its operational activities. CNEY emphasizes that the recent delisting determination does not have any immediate adverse effects on its core business operations or its reporting obligations under federal securities laws.

Based in Lishui, China, CN Energy specializes in producing high-quality recyclable activated carbon and renewable energy, using innovative bioengineering and physiochemical technologies. The company has carved out a niche by converting agricultural residues and forest waste into valuable resources, benefiting various industries such as food production, pharmaceuticals, and environmental protection. Furthermore, CN Energy develops customized robotics products and automation tools tailored for small and medium-sized enterprises in North America. This dual focus on sustainability and technology positions CNEY as an impactful player in both environmental and industrial sectors.

While the forthcoming hearing represents a significant challenge, it also presents an opportunity for CNEY to highlight its innovative projects and commitment to sustainable practices. Should the company succeed in addressing the panel's concerns, it could not only retain its Nasdaq listing but also leverage this experience to emerge stronger within the market. However, failure to secure an extension or exception could lead to more severe implications, including a complete delisting that might hinder investor confidence and market access.

As the situation develops, stakeholders and investors are urged to keep a close watch on CNEY's progress. The outcomes from the upcoming hearings will be pivotal not only for the company's future on the Nasdaq but also for its ongoing commitments to sustainability and innovation in the rapidly evolving marketplace. For continuous updates and detailed information, interested parties should refer to the company’s official website at www.cneny.com.