Enservco Corporation Provides Further Update on Plan to Regain Compliance with NYSE American Listing Standards

Core Viewpoint - Enservco Corporation is actively working on a plan to regain compliance with NYSE American listing standards, focusing on resolving its equity deficit and enhancing its capital structure through strategic initiatives and acquisitions [1][3][8]. Updated Plan Overview - The Updated Plan includes a strategic shift from reliance on seasonal frac water heating to more stable hot oiling and energy logistics services, highlighted by the acquisition of Buckshot Trucking [2][5]. - The plan aims to improve financial visibility and reduce seasonality in revenue streams [7][8]. Financial Actions - Enservco has secured a $10 million equity line of credit, allowing the company to issue up to 7,310,000 shares of common stock, representing 19.99% of the total shares outstanding prior to the agreement [7]. - The company converted $2.2 million of debt into equity, demonstrating confidence in its financial recovery [7][8]. - An additional $1.25 million of equity is planned to be issued as part of the Buckshot acquisition, which is expected to close in Q3 2024 [5][7]. Compliance and Appeal Process - Following a determination by NYSE Regulation to commence delisting proceedings, Enservco is requesting a hearing to appeal this decision and plans to submit its Updated Plan to cure its equity deficit [3][4][10]. - The company aims to achieve a minimum of $6 million in stockholders' equity to comply with NYSE standards [8][13]. Strategic Focus - The acquisition of Buckshot Trucking is expected to provide year-round cash flow and earnings visibility, expanding Enservco's service offerings and customer base [3][5]. - The company is committed to exploring further strategic transactions to enhance its financial position and reduce reliance on seasonal services [3][7].