ScanTech AI Systems (STAI) said Monday that recent pressure on its stock price is due to "short-sighted trading" and "potential high-volume short activity."
The company completed its merger with a special purpose acquisition company on Jan. 2, and has experienced the typical volatility that comes with SPAC mergers, Chief Executive Dolan Falconer said.
"We are trading at a substantial discount to our announced merger value. I am confident in the value we are building for our shareholders and the market will soon recognize that our current share price understates our enterprise value," Falconer said in a statement.
The company said factors unrelated to its core business fundamentals have influenced trading activity, including misunderstandings about the company's business model, SPAC arbitrage, and short-term trading.
Shares of ScanTech AI Systems were down 3.4% in recent trading.
Price: 1.41, Change: -0.04, Percent Change: -2.76
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.