On February 13, Alex Odagiu, an investment partner at Yzi Labs, sent a letter to the board of directors of CEA Industries, accusing the company of reckless behavior in postponing its annual general meeting (AGM), which could lead to the company facing delisting from Nasdaq. The letter pointed out that more than 400 days have passed since the last AGM (December 17, 2024). The board attempted to exploit a loophole in the rules by changing the fiscal year-end date to April 30, a "manifestational maneuver," to extend the meeting interval to 16 months.
Alex Odagiu stated that the board's actions were an attempt to evade voting and that in December of last year, they used a "ski vacation" as a pretext to cover up their obstruction of shareholder democracy through a "poison pill" plan and amendments to the bylaws. The letter emphasizes that while the board is attempting to comply technically, its malicious manipulation could trigger Nasdaq's delisting discretion. Yzi Labs demands that the board immediately announce the date of the 2025 Annual General Meeting and cease actions that jeopardize the company's listing status in order to retain positions.
