LeddarTech Received Notice from Nasdaq Regarding Delisting and Announces Filing under the Bankruptcy and Insolvency Act in Canada
- None.
- Company filed for bankruptcy under the Bankruptcy and Insolvency Act in Canada
- Entire board of directors has resigned
- Stock will be delisted from Nasdaq on June 24, 2025
- Company chose not to appeal the delisting decision
Insights
LeddarTech faces imminent Nasdaq delisting and has filed for bankruptcy in Canada, signaling severe financial distress and potential shareholder value elimination.
LeddarTech's announcement represents a critical financial deterioration that will have immediate consequences for shareholders. The company has received formal notification from Nasdaq that its securities will be suspended from trading on June 24, 2025 and subsequently delisted. This action follows LeddarTech's filing under the Bankruptcy and Insolvency Act (Canada) on June 18, 2025.
Three key developments make this particularly significant:
- The company has chosen not to appeal Nasdaq's delisting determination, indicating management sees no viable path to address the exchange's concerns
- The entire board of directors has resigned effective immediately following the bankruptcy filing
- Nasdaq specifically cited concerns about "residual equity interest" of existing shareholders, suggesting little to no remaining value
The combination of bankruptcy proceedings, board resignations, and delisting creates a perfect storm for shareholders. In bankruptcy restructurings, common shareholders typically stand last in line for any remaining assets after creditors are paid. The board's mass resignation signals they see no constructive role in a potential turnaround, suggesting the company's financial condition may be beyond salvage.
While LeddarTech operates in the growing ADAS and autonomous driving software market, this filing indicates fundamental problems with their business model or financial structure that prevented them from capitalizing on industry growth. The lack of specific financial details in this announcement suggests transparency will now shift to the bankruptcy administrator, Raymond Chabot Inc., rather than normal investor relations channels.
QUEBEC CITY, June 19, 2025 (GLOBE NEWSWIRE) -- LeddarTech® Holdings Inc. (“LeddarTech” or the “Company”) (Nasdaq: LDTC), an AI-powered software company recognized for its innovation in advanced driver assistance systems (ADAS) and autonomous driving (AD), today announces that on June 17, 2025, the Company received a determination letter (the “Determination Letter”) from Nasdaq notifying the Company that Nasdaq has determined that, in accordance with its authority under Nasdaq Listing Rules 5101, 5110(b), and IM-5101-1, the Company’s securities will be suspended from trading at the opening of business on June 24, 2025 and delisted from Nasdaq.
Nasdaq based its determination upon concerns related to (i) the Company’s announcement of its intention to file under the Bankruptcy and Insolvency Act (Canada) (the “BIA”) and the associated public interest concerns raised by such filing, (ii) the residual equity interest of the existing listed securities holders, and (iii) the Company’s ability to sustain compliance with all requirements for continued listing on Nasdaq.
The Determination Letter also advises the Company of its right to request an appeal of the determination. However, the Company currently does not intend to file an appeal of the determination. Accordingly, the Company expects that its securities will be suspended from trading at the opening of business on June 24, 2025 and delisted from Nasdaq after the completion of Nasdaq's filing of Form 25-NSE with the Securities and Exchange Commission.
Filing under the BIA
Further to its press release dated June 16, 2025, the Company announces having filed under the BIA on June 18, 2025. As a result of such filing, the board of directors of the Company has resigned effective as of such date.
Additional information with respect to the BIA proceedings will be available in due course on Raymond Chabot Inc.’s website.
About LeddarTech
A global software company founded in 2007 and headquartered in Quebec City with additional R&D centers in Montreal and Tel Aviv, Israel, LeddarTech develops and provides comprehensive AI-based low-level sensor fusion and perception software solutions that enable the deployment of ADAS, autonomous driving (AD) and parking applications. LeddarTech’s automotive-grade software applies advanced AI and computer vision algorithms to generate accurate 3D models of the environment to achieve better decision making and safer navigation. This high-performance, scalable, cost-effective technology is available to OEMs and Tier 1-2 suppliers to efficiently implement automotive and off- road vehicle ADAS solutions.
LeddarTech is responsible for several remote-sensing innovations, with over 190 patent applications (112 granted) that enhance ADAS, AD and parking capabilities. Better awareness around the vehicle is critical in making global mobility safer, more efficient, sustainable and affordable: this is what drives LeddarTech to seek to become the most widely adopted sensor fusion and perception software solution.
Additional information about LeddarTech is accessible at www.leddartech.com and on LinkedIn, Twitter (X), Facebook and YouTube.
Forward-Looking Statements
Certain statements contained in this Press Release may be considered forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (which forward-looking statements also include forward-looking statements and forward-looking information within the meaning of applicable Canadian securities laws). Forward-looking statements generally include statements that are predictive in nature and depend upon or refer to future events or conditions, and include words such as “may,” “will,” “should,” “would,” “expect,” “anticipate,” “plan,” “likely,” “believe,” “estimate,” “project,” “intend” and other similar expressions among others. Forward-looking statements in this press release include, without limitation, statements regarding the BIA proceedings. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties, including the risk factors as detailed from time to time in LeddarTech’s reports filed with the U.S. Securities and Exchange Commission (the “SEC”), including the risk factors contained in LeddarTech’s Form 20-F filed with the SEC. The foregoing list of important factors is not exhaustive. Except as required by applicable law, LeddarTech does not undertake any obligation to revise or update any forward-looking statement, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise.
Leddar, LeddarTech, LeddarVision, LeddarSP, VAYADrive, VayaVision and related logos are trademarks or registered trademarks of LeddarTech Holdings Inc. and its subsidiaries. All other brands, product names and marks are or may be trademarks or registered trademarks used to identify products or services of their respective owners.
LeddarTech Holdings Inc. is a public company listed on the Nasdaq under the ticker symbol “LDTC.”
Contact: reclamation-claims@rcgt.com
FAQ
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