[8-K] Solidion Technology Inc. Reports Material Event
Solidion Technology, Inc. announced that investors should no longer rely on its previously issued interim financial statements for the period ended June 30, 2025, or related earnings releases and communications. After a review by the Chief Financial Officer and Audit Committee, the company identified errors in the reported number of Series A warrants issued in a March 13, 2024 private placement and in the related fair value measurement. The company determined that 810,389 Series A warrants should have been subject to fair value measurement, and their fair value as of June 30, 2025 was understated by
- None.
- Non-reliance declaration: Solidion stated that its June 30, 2025 interim financial statements and related earnings communications should no longer be relied upon due to identified errors.
- Material warrant valuation error: The company reported that the fair value of 810,389 Series A warrants was understated by
$2,260,650 as of June 30, 2025. - Diluted EPS misstatement: Diluted earnings per share for the six months ended June 30, 2025 omitted 576,540 Series A and 1,715,677 Series C common stock equivalents, requiring restatement.
Insights
Non-reliance restatement flags warrant and EPS errors as of June 30, 2025.
Solidion Technology disclosed that its June 30, 2025 interim financial statements and related communications should no longer be relied upon. The issue centers on misreporting the number of Series A warrants tied to a March 13, 2024 private placement and underestimating their fair value by
The company also stated that diluted EPS for the six months ended June 30, 2025 should have included 576,540 Series A and 1,715,677 Series C common stock equivalents. Including these instruments typically increases the share count used in diluted EPS, which can reduce the reported diluted EPS figure versus what was previously shown.
Management, together with the Audit Committee, plans to file a Form 10-Q/A to restate the affected June 30, 2025 information before submitting the September 30, 2025 Form 10-Q. They discussed these matters with Deloitte & Touche LLP, the independent auditor, which signals that revisions will be formalized through the amended filing.
Restatement driven by warrant fair value and diluted EPS miscalculations.
The company identified that 810,389 Series A warrants, issued in a March 13, 2024 private placement, should have been included in fair value measurement as of June 30, 2025. It stated that the corresponding fair value was understated by
In addition, Solidion determined that diluted EPS for the six-month period ended June 30, 2025 should have reflected 576,540 Series A and 1,715,677 Series C common stock equivalents. Omitting these instruments from diluted EPS affects the accuracy of per-share profitability metrics that many users rely on.
The decision to declare non-reliance and to file a Form 10-Q/A indicates that management and the Audit Committee judged the errors to be material to the June 30, 2025 interim reporting. Their consultation with Deloitte & Touche LLP suggests that the revisions and related disclosures will be aligned with applicable accounting and reporting standards in the forthcoming amendment.