EV Charging Startup Volta Stock Closes Below 50 Cents for First Time since Public Listing

UTC by Tolu Ajiboye · 3 min read
EV Charging Startup Volta Stock Closes Below 50 Cents for First Time since Public Listing
Photo: Volta Charging / Twitter

Volta recently closed under 50 cents for the first time as a public company due to a cash crunch and the possibility of stock delisting.

EV charging startup Volta (NYSE: VLTA) saw its shares close below 50 cents for the first time since its public listing last year. This recent relative stock underperformance could be attributable to several factors affecting the electric car charging company. They include a cash crunch as well as the possibility of a stock delisting.

Volta stock briefly climbed up to $13 in 2021 but plunged 6.4% on Wednesday to close at 49.2 cents. Conversely, the electric vehicle charging startup’s rivals all gained more than 5% for the day. Performing rivals include Blink Charging Co, ChargePoint Holdings Inc, and EVgo Inc.

Before falling below 50 cents, Volta had received a notice from the New York Stock Exchange regarding a trading share price listing rule. According to the NYSE, Volta’s average closing price was less than $1.00 over a consecutive 30 trading-day period.

Volta to Make Amends for Its Drop to 50 Cents

Although the leading stock exchange’s notice does not mean an immediate delisting of Volta stock, the company has to act fast. The EV charging company intends to notify the NYSE within a week of plans to fix the stock price deficiency and regain listing requirements compliance. Volta can regain compliance at any time up to six months after receiving the NYSE’s notice.

In the meantime, Volta’s Class A Common Stock will continue to see listing and trading on the New York Stock Exchange. However, this proviso remains subject to the company’s compliance with other NYSE continued listing standards.

Reports also stated on November 25th that Volta would consider available alternatives, including a reverse stock split. Such options are subject to stockholder approval on or before the company’s next annual meeting of stockholders.

Volta began trading on the NYSE in August 2021 following a merger with a special purpose acquisition company (SPAC). At the time, there was a wave of tech-oriented startups also looking to go public with their various products and services, via SPAC.

Despite Volta’s promising start to its public journey, the company began to run into problems early this year. For instance, two top Volta executives and founders abruptly left the company in March. In addition, the electric car charging startup reported a sizable shrinkage in its cash reserves to $15.6 million in November. So far, Volta has cut more than half of its headcount to stabilize its dwindling finances.


Volta ranks among the industry’s leaders in building a network of electric vehicle charging stations. In addition, the startup provides media services to achieve clean energy in the future.

Volta’s operational format entails delivering value to its end users by installing charging stations that feature large-format digital advertising screens. Many of the company’s charging stations are situated close to the entrances of popular commercial locations and serve multifaceted purposes. Advertisers can precisely target audiences while EV drivers charge their automobiles effortlessly.

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