Lithium-metal battery developer SES AI Corp announced on Monday that it has received a notice from the NYSE regarding non-compliance with continued listing standards.

The notice relates to the company's share price falling below the exchange's minimum price requirement, though it will not immediately affect the trading of its stock.

Under NYSE listing rules, listed companies must maintain an average share price of at least $1. The recent sustained trading of SES AI Corp's stock below this threshold has triggered a compliance alert. Per NYSE regulations, the company has a six-month period to regain compliance, during which its shares will continue to trade normally on the exchange. The company stated it is evaluating various options, including a reverse stock split, to restore its compliant status.

SES AI Corp focuses on developing next-generation lithium-metal battery technology, with its products primarily aimed at the electric vehicle and advanced air mobility sectors. The company went public in 2022 via a merger with a special purpose acquisition company (SPAC). In recent years, its stock price has been under pressure due to high-interest rate environments and declining investor risk appetite for early-stage technology firms.

In its statement, SES AI Corp indicated that receiving the NYSE notice does not impact its daily operations, business strategy, or long-term development plans. The company continues to advance the commercialization of its battery technology and recently expanded joint development agreements with several automakers and aerospace companies.

As of the first quarter of this year, SES AI Corp held approximately $230 million in cash and cash equivalents. The company expects its existing funds to be sufficient to support operations through 2027. Analysts suggest that this ample capital reserve provides a buffer for the company to navigate near-term stock price volatility and achieve its technological milestones.

The company stated it intends to address the share price issue within the stipulated timeframe and will continue to provide relevant updates to investors.