Elong Power Faces Nasdaq Compliance Challenges Ahead

Introduction

ELONG POWER HOLDING LIMITED (NASDAQ: ELPW) is a Cayman Islands exempted company focused on the research, development, production, and sale of high-power fast-charging lithium-ion batteries and solid-state battery energy storage systems. Founded in 2014, the company operates two manufacturing plants: one in Ganzhou, Jiangxi, covering approximately 92,000 square meters with four production lines, and another in Zibo, Shandong, covering approximately 15,000 square meters with two energy-storage lines. As of July 2, 2025, the share price was $1.2343, reflecting a 43.14% increase over the previous period, with a trading volume of 2,776,774 shares.

Corporate Structure

Headquartered in Ganzhou, China, Elong Power is led by Chairwoman and CEO Xiaodan Liu. The board approved a management change in June 2025, with Jingdong Qu resigning as executive director on June 20 and Zhaohui Yang appointed on June 23. Yang brings over 30 years of experience in leadership roles within the equity investment and finance sectors. LinkedIn data indicate the company employs between 1,001 and 5,000 staff across research and development, manufacturing, sales, and support.

Lithium Batteries by Roberto Sorin

Recent Developments and News

• November 21, 2024: Completed a business combination with TMT Acquisition Corp, and began trading on Nasdaq under the symbol “ELPW” on November 22.
• March 25, 2025: Received two notices from Nasdaq regarding non-compliance with listing standards, specifically (1) market value of listed securities falling below the minimum requirement of $50 million and (2) a closing bid price below $1.00. The company has until September 15 and September 16, 2025, respectively, to regain compliance.
• April 30, 2025: Filed an NT 20-F with the SEC to notify of its inability to timely file the Form 20-F for the period ending December 31, 2024.
• June 20, 2025: Engaged Enrome LLP as the new independent registered public accounting firm, succeeding UHY LLP, which had included a going-concern explanatory paragraph in its audit report.
• June 23, 2025: Appointed Zhaohui Yang as executive director following the resignation of Jingdong Qu.

Financial and Strategic Analysis

Elong Power's market capitalization was approximately $43.2 million as of July 2, 2025, with an enterprise value of about $69.7 million. The price-to-sales ratio (TTM) stood at 30.9. The company has not yet published full audited financials for 2024 due to the delayed Form 20-F. UHY LLP's going-concern note highlights the need for financial and operational stabilization. Strategically, Elong Power's focus on high-power fast-charging applications for commercial vehicles and large-capacity energy storage positions it to address demand in electric mobility and grid storage. Its product portfolio includes lithium manganese oxide and lithium iron phosphate chemistries, supported by integrated cell-to-pack and battery management system capabilities.

Market Position and Industry Context

Within the global lithium-battery sector, Elong Power operates in two core segments:

• Power Batteries: Providing high-power, fast-charging solutions for commercial vehicles, construction and mining machinery.
• Energy Storage Systems: Offering both standard and solid-state battery systems for large-scale and industrial/commercial storage.

The lithium battery industry is characterized by rapid technological advancement, cost reductions driven by economies of scale, and stringent safety standards. Elong Power’s manufacturing capabilities in Jiangxi and Shandong, coupled with over a decade of R&D experience, support its efforts to gain a share of the growing electric vehicle and stationary storage markets.

tl;dr

As of July 2, 2025, ELPW shares traded at $1.2343 (+43.14%), with Nasdaq notices issued on March 25 for non-compliance with market value and bid price requirements. The firm must achieve a market value of $50 million and a bid price of $1.00 for ten consecutive days by mid-September 2025 to avoid delisting. Recent SEC filings on April 30 (Form 20-F delay), June 24 (director change), and June 25 (auditor change) indicate transitions in governance and reporting. Key upcoming milestones include SEC approval of the 20-F report and compliance with Nasdaq listing standards.