Flux Power's $40M Equity Line Prospectus Now Carries Going-Concern 10-K and $0.3M Cash Balance
FLUX sits 38% above its 52-week low of $0.47 on elevated volume (2.2× avg).
Summary
Flux Power's resale prospectus now incorporates its FY2026 10-K, disclosing a going-concern warning, a debt covenant default, and only $0.3M in cash. The $40M equity line remains available but requires the stock to stay above $0.50.
Key Events · Financing and Capital Events · FLUX
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Going-Concern Warning in 10-K
Auditor Haskell & White LLP included an explanatory paragraph stating substantial doubt about Flux Power's ability to continue as a going concern, citing recurring losses, $113.8M accumulated deficit, and $0.3M cash as of June 30, 2026.
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GBC Credit Facility Default
Flux Power breached the minimum EBITDA covenant for the period ended February 28, 2026, triggering an event of default on its $16M GBC credit facility with $6.3M outstanding. GBC can call the debt or limit availability at any time.
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Equity Line Access at Risk
The $40M committed equity facility with Roth Principal Investments requires the stock to close above $0.50 on the prior trading day. With the stock at $0.65 and a Nasdaq delisting notice for trading below $1.00, access to this lifeline is uncertain.
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Minimal Drawdowns So Far
Only 19,609 shares have been sold under the CEF at an average price of $0.98 per share, generating just $17,000 in net proceeds — far short of the $40M commitment.
Analysis · FLUX · Manufacturing
This prospectus supplement folds Flux Power's FY2026 10-K into the resale registration for its $40 million committed equity facility with Roth Principal Investments. The 10-K reveals the auditor's going-concern warning, a GBC credit facility covenant default, and only $0.3 million in cash as of June 30, 2026. The company has drawn just $17,000 from the equity line so far, but the stock's decline below $1.00 has triggered a Nasdaq delisting notice and threatens the $0.50 threshold price required to access the facility. The combination of a going-concern opinion, covenant default, and a financing mechanism that may become unusable if the stock keeps falling makes this a critical update for existing shareholders.
How filings like this one have moved
In the 30 days to Sep 11, 2026, 35.7% of the 1694 measured filings Wiseek scored 8 moved their stock by 5% or more by the next session's close. The median move was -0.10%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, FLUX was trading at $0.65 on NASDAQ in the Manufacturing sector, with a market capitalization of approximately $14.4M. The 52-week trading range was $0.47 to $7.55. This filing was assessed with negative market sentiment and an importance score of 8 out of 10.