Urban-gro Soars 27.97% on Strategic Sale, Nasdaq Delisting Threat

On September 3, 2025, Urban-gro's stock surged by 27.97% in pre-market trading, marking a significant rise that has caught the attention of investors and analysts alike.

Urban-gro recently announced a major transaction involving the sale of certain subsidiaries to 2WR Holdco, LLC. This deal, which includes the acquisition of all outstanding shares of 2WR of Georgia, Inc. and related assets, is part of the company's strategic move to focus on its core business of controlled environment agriculture (CEA). The transaction, valued at $2.0 million in cash, excludes the CEA business, which remains with Urban-gro.

In addition to the strategic sale, Urban-gro has been facing challenges related to its stock listing on the Nasdaq. The company received a determination letter from Nasdaq stating that it did not regain compliance with the minimum bid requirement, which could potentially lead to delisting. Urban-gro has requested a hearing before the Nasdaq Hearings Panel, scheduled for October 7, 2025, to address these issues.

Furthermore, Urban-gro has taken cost-saving measures, including a voluntary salary reduction by its CEO, Bradley J. Nattrass, from $450,000 to $350,000 until at least November 30, 2025. This move is part of a broader effort by the company's leadership team to reduce expenses and navigate through the current challenges.