Both D-Wave (NYSE: QBTS) and Rigetti (Nasdaq: RGTI) are again facing stock delisting. This is a third time for D-Wave, which issued a press release t

Quantum Companies D-Wave and Rigetti Again Face Stock Delisting

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2024-10-06 22:30:05

Both D-Wave (NYSE: QBTS) and Rigetti (Nasdaq: RGTI) are again facing stock delisting. This is a third time for D-Wave, which issued a press release today following notification by the SEC. Rigetti was notified of delisting threat in mid-September. This is Rigetti’s second time facing delisting, the first time in late 2023.

Notices of potential delisting are issued after a company’s stock falls below $1 for 30 consecutive days. Some of the boilerplate from the companies’ recent filing is shown below.

Raising money in public markets is always risky, perhaps more so for quantum computer developers since the time-to-payoff (broad commercialization) remains unclear and is hotly debated. D-Wave, at least, has a couple customers using D-Wave systems in a production setting. CEO Alan Baratz has maintained D-Wave is open for business now.

D-Wave systems are quantum annealing devices – akin to analog computing – and have demonstrated solid performance on optimizations. The challenge is to grow the customer base (build revenue stream) with its approach. D-Wave reported non-compliance (delisting) notices in March and October of 2023 and today.