Diginex Faces Nasdaq Deadline Amid Critical Shareholder Vote

Diginex must execute a reverse stock split by Sept 2026 to avoid Nasdaq delisting after its share price fell below $1. Shareholders vote on the plan April 13.

The clock is ticking for Diginex. With its shares trading at just $0.46—a stark contrast to its 52-week high of $39.85—the company is in a race against time to maintain its listing on the Nasdaq exchange. The immediate challenge is a formal compliance notice received from the exchange on March 23, 2026.

A Formal Warning and a Clear Deadline

Nasdaq issued the warning because Diginex’s closing share price had remained below the mandatory $1.00 minimum for 30 consecutive trading days, breaching Listing Rule 5550(a)(2). This triggered a formal delisting process. The firm now has until September 21, 2026, to regain compliance or face removal from the exchange.

In response, the company’s board has called an Extraordinary General Meeting (EGM) for April 13, 2026. This gathering represents the first critical step in its rescue plan. Shareholders will be asked to approve two key measures: an increase in authorized share capital to $200,000 and an 8-to-1 reverse stock split. Executing the reverse split would, on paper, lift the share price above the crucial $1 threshold.

Mixed Operational Signals and Analyst Sentiment

Diginex’s operational narrative presents a dichotomy. For the first half of fiscal 2025, the company reported a remarkable 293% surge in revenue, reaching $2.0 million. This growth is primarily fueled by its SaaS platform for ESG data and climate reporting, which recently secured Doctolib as a client for its Plan-A carbon management tool.

Despite this top-line momentum, profitability remains elusive. The last reported quarter showed a substantial operating loss of $6.0 million. Reflecting this concern, the consensus analyst rating for the stock is currently "Sell." On a positive note, Diginex carries no debt and, following an option exercise in October 2025, holds a cash position of $13.8 million.

Short Sellers Retreat as Pressure Mounts

Interestingly, short-selling pressure on the stock has recently eased. Data from March shows a 21.3% decline in short interest, falling to approximately 1.93 million shares from 2.46 million at the end of February. The Days-to-Cover ratio now stands at 1.0, indicating minimal immediate selling pressure from this segment of the market.

The outcome of the April 13 shareholder vote is therefore far from a mere formality. Without shareholder approval for the proposed capital measures, Diginex will lack the necessary tools to technically stabilize its share price. The path forward is clear: secure the vote or watch the Nasdaq deadline continue its relentless countdown.