Southland Holdings Gets NYSE American Notice Over Shareholder Equity

What happened

Southland Holdings, Inc. (NYSE American: SLND) said in a Form 8-K filed September 25, 2026 that it received a notice dated September 23, 2026 from NYSE Regulation of the NYSE American LLC stating the company is no longer in compliance with the exchange's continued listing standards.

The notice cites Sections 1003(a)(i) and 1003(a)(ii) of the NYSE American Company Guide. According to the filing, those sections require a listed company to have stockholders' equity of at least $2.0 million if it reported losses from continuing operations or net losses in two of its three most recent fiscal years, and at least $4.0 million if it reported such losses in three of its four most recent fiscal years.

The filing states Southland reported a stockholders' deficit of $248.2 million at June 30, 2026, and had reported net losses in its last three fiscal years. It also states the company is not currently eligible for any exemption under Section 1003(a) of the Company Guide.

Southland's common stock (SLND) and its redeemable warrants (SLND WS) both trade on the NYSE American. The filing says the notice has no immediate effect on either listing, and that the shares and warrants will continue to trade under those symbols during the period covered by the process, subject to compliance with other listing requirements.

Southland Holdings describes itself as a heavy construction contractor — "Heavy Construction Other Than Bldg Const - Contractors" in the filing's own classification — headquartered at 1100 Kubota Drive, Grapevine, Texas.

The deadlines in the notice

The company must submit a plan to NYSE Regulation by October 23, 2026 describing actions it has taken or will take to regain compliance by March 23, 2028, according to the filing.

Southland said it intends to submit that plan by the deadline. If NYSE Regulation accepts the plan, the filing says the company expects to keep its listing during the plan period while subject to continued periodic review by exchange staff.

If the company does not submit a plan, or if the plan is not accepted, the filing says delisting proceedings will commence. If the plan is accepted but Southland is not in compliance by March 23, 2028, or does not make progress consistent with the plan, the filing says NYSE Regulation staff will initiate delisting proceedings as appropriate. The company may appeal a staff delisting determination under Section 1010 and Part 12 of the Company Guide, according to the filing.

The filing states that receipt of the notice does not affect the company's business operations or its SEC reporting obligations.

What this means

An 8-K is the form a US public company files to disclose material events between its regular quarterly and annual reports. Item 3.01 specifically covers a notice of delisting or failure to satisfy a continued listing rule — so the existence of this filing tells you an exchange has formally flagged a listing-standard problem. Here, the exchange triggered it, not the company.

The listing standard at issue is not about the stock price. NYSE American's Company Guide sets minimum financial thresholds for continued listing, and one of them is stockholders' equity — the accounting measure of a company's assets minus its liabilities; when that number is negative, it is called a stockholders' deficit. Southland's $248.2 million deficit is the figure that put it below both the $2.0 million and $4.0 million thresholds, and the filing says the applicable threshold depends on how many of the company's recent fiscal years showed losses. Southland reported losses in three of its last three fiscal years.

Listing notices of this kind do not remove a security from the exchange on their own. NYSE American's process gives the company a window — here, until October 23, 2026 — to submit a written plan explaining how it will get back above the threshold, and then a longer cure period, here ending March 23, 2028, to actually do it. Acceptance of a plan is not guaranteed, and the filing lays out what happens if it is rejected or if the company misses the 2028 deadline: delisting proceedings.

The company also has redeemable warrants listed on the exchange under SLND WS. A warrant is a security that gives its holder the right — but not the obligation — to buy shares at a set price before a set date. Southland's outstanding warrants are exercisable at $11.50 per share, a figure stated in the filing's cover page, well above where the common stock has been trading, which is why warrant terms matter to the listing picture: both securities sit under the same continued-listing compliance process.

The filing does not explain what caused the stockholders' deficit or the losses, and nothing in the provided sources attributes a cause. The company's own forward-looking language says its ability to regain compliance depends on submitting the plan on time and having it accepted — outcomes the filing describes as uncertain.