XTI Aerospace receives Nasdaq deficiency notice amid internal CEO review

XTI Aerospace, Inc. has received a deficiency notification from Nasdaq for failing to timely file its quarterly report (Form 10-Q) for the period ending June 30, 2026. The company stated the delay is due to an ongoing internal review regarding its former Chief Executive Officer, who resigned on August 17, 2026, and other related corporate governance matters.

Nasdaq has granted the company until October 26, 2026, to submit a plan to regain compliance. While the notice does not result in an immediate change to the company's stock listing, XTI Aerospace faces potential delisting if it cannot resolve the filing delay and satisfy regulatory requirements.

Concurrently, a class action lawsuit has been filed against XTI Aerospace on behalf of investors who purchased securities between April 15, 2026, and August 17, 2026. The complaint alleges that the company misled investors regarding the effectiveness of its disclosure controls and procedures and failed to disclose activities involving senior executives that required board review.