Self-driving tech firm TuSimple plans to delist from Nasdaq

CreateAl Holdings

17/01/2024 14:09

Jan 17 (Reuters) - TuSimple Holdings  TSP.O  said it has
decided to voluntarily delist from the Nasdaq and terminate its
registration with the U.S. securities regulator, sending the
autonomous driving technology company's shares down 40% in
premarket trading.
    The company, which went public in 2021, said its valuation
and liquidity have declined since, while its stock price
volatility has increased "significantly".
    Rise in interest rates and higher caution in the market due
to macroeconomic uncertainty have impacted investor sentiment
for pre-revenue technology companies like TuSimple, the company
said on Wednesday.
    TuSimple expects its last trading day on the U.S. stock
exchange to be on or around Feb. 7.
    The San Diego-based company announced restructuring plans in
May, including layoffs and asset impairments to balance its cost
structure amid a funding crunch in the sector.
    The company said it is undergoing a transformation that it
believes can be better navigated as a private firm than as a
publicly traded one.
    "The benefits of remaining a publicly traded company no
longer justify the costs," TuSimple added.
    Loss from operations in the nine months ended Sept. 30 was
$248.6 million, narrowing from $341.7 million during the same
period in 2022, as the company cut its research and development
costs and stock-based compensation for employees.

 (Reporting by Priyanka G; Editing by Shounak Dasgupta)
 ((Priyanka.G@thomsonreuters.com))