Enservco runs afoul of regulators over stockholder equity threshold
LONGMONT — Enservco Corp. (NYSE American: ENSV) has received notification from the New York Stock Exchange that the Longmont-based provider of specialized well-site services to the oil and gas industry is below the required threshold for stockholder equity.
The “stockholders’ equity of approximately $5.2 million for the second quarter ended June 30, 2022, was below the required minimum level of $6 million,” Enservco said in a statement last week.
By Jan. 9, 2023, Enservco must “submit a plan to cure the deficiency and regain compliance with continued listing standards,” the company said.
Assuming such a plan meets the NYSE’s standards, Enservco would have 18 months to regain compliance before delisting.
The stockholder equity issue is not the first stock-related problem Enservco has faced this year.
In early 2022, the company decided to delay filing its quarterly disclosures with the U.S. Securities and Exchange Commission to restate financial statements on three quarterly reports for 2021 to adjust for its utilization of certain deferred tax liabilities in 2021.
The company is still not caught up, reporting late last month that it plans to file its third quarter disclosures in “mid-December.”