8-K: Zynex Faces Nasdaq Delisting, Files Amended Bankruptcy Plan

Sentiment:

Bankruptcy Update 2 February 2026 4:28 PM

Zynex, Inc. announced its common stock delisting from Nasdaq and subsequent trading on the Pink Limited Market, alongside filing an amended Chapter 11 reorganization plan.

Capital raiseThe Plan provides for the consummation of an equity transaction with a Plan Sponsor, to be determined in connection with a parallel Sale Process.

Worse than expectedThe company's common stock was delisted from Nasdaq, a significant negative event for shareholders and market visibility.Equity holders are explicitly warned to expect a significant loss on their investment, indicating a severe negative impact.The company is operating under Chapter 11 bankruptcy, which inherently signifies severe financial distress and operational challenges.

Summary

Zynex, Inc. and its subsidiaries commenced voluntary Chapter 11 bankruptcy cases on December 15, 2025, in the U.S. Bankruptcy Court for the Southern District of Texas.
The company's common stock was delisted from Nasdaq on December 17, 2025, and suspended from trading on December 24, 2025, subsequently moving to the Pink Limited Market under the symbol ZYXIQ.
Nasdaq filed a Form 25 with the SEC on January 23, 2026, with deregistration of Zynex's common stock under Section 12(b) of the Exchange Act becoming effective 90 days (or shorter period as SEC determines) after February 2, 2026.
An Amended Combined Disclosure Statement and Joint Plan of Reorganization was filed on January 29, 2026, and a Second Amended Plan was filed on February 1, 2026.
The Plan includes a global settlement among the Company Parties, the Ad Hoc Noteholder Group, and the Official Committee of Unsecured Creditors, resolving disputes and potential litigation.
A trust will be established for the benefit of holders of Allowed Convertible Notes Claims and Allowed General Unsecured Claims, funded initially by $750,000, D&O Insurance Policies, and certain Estate Claims and Causes of Action.

Sentiment

Score: 1

Explanation: StockSavvy.ai views this filing as overwhelmingly negative, given the company's delisting from Nasdaq, ongoing Chapter 11 bankruptcy, and explicit warning to equity holders of a significant loss on their investment.

Positives

The company has filed an Amended Combined Disclosure Statement and Joint Plan of Reorganization, indicating progress in the bankruptcy proceedings.
A global settlement has been reached among key creditor groups, aiming to resolve disputes and potential litigation, which could streamline the restructuring process.

Negatives

Zynex, Inc.'s common stock was delisted from The Nasdaq Stock Market LLC due to the Chapter 11 bankruptcy filing.
Trading in the company's securities is highly speculative and poses substantial risks during the Chapter 11 Cases.
Equity holders are expected to experience a significant loss on their investment if the Restructuring Transactions are implemented.
The company's common stock has been suspended from Nasdaq and now trades on the Pink Limited Market, indicating a significant downgrade in market access and liquidity.

Risks

Risks and uncertainties relating to the Chapter 11 Cases, including obtaining Court approval for motions and confirmation of the Plan.
The effects of the Chapter 11 Cases on the Company and its various constituents, and the impact of Court rulings.
The ultimate outcome of the Chapter 11 Cases in general and the length of time the Company will operate under Chapter 11.
Attendant risks associated with restrictions on the Company's ability to pursue its business strategies while the Chapter 11 Cases are pending.
Risks associated with third-party motions in the Chapter 11 Cases.
The potential adverse effects of the Chapter 11 Cases on the Company's liquidity.
The likelihood of the cancellation of the Company's common stock in the Chapter 11 Cases.
Uncertainty regarding the Company's ability to retain key personnel and management.
Uncertainty and continuing risks associated with the Company's ability to achieve its goals and continue as a going concern.

Future Outlook

The company aims to complete the Restructuring Transactions as contemplated by the Restructuring Support Agreement, which includes an equity transaction with a Plan Sponsor and distribution of any Excess Sale Proceeds. However, actual results could differ materially, and equity holders are expected to experience a significant loss on their investment.

Industry Context

StockSavvy.ai notes that Zynex's Chapter 11 filing and subsequent delisting from Nasdaq reflect severe financial distress, a common outcome for companies unable to meet their debt obligations or operational challenges. While bankruptcy proceedings are a structured legal process for financial reorganization, they typically signal significant operational and strategic failures within the company's specific market segment, often leading to a loss of investor confidence and market access.

Comparison to Industry Standards

Direct comparison to industry performance standards is not applicable given the company's bankruptcy status; the focus shifts to the efficiency and outcome of the restructuring process.
The delisting from Nasdaq and move to the Pink Limited Market is a standard consequence for companies failing to meet listing requirements, similar to other distressed companies like Revlon (REV) or Hertz (HTZ) during their respective bankruptcy proceedings.
The filing of an amended plan of reorganization and reaching a global settlement with creditors are typical steps in a Chapter 11 process, aiming to achieve consensus among stakeholders, comparable to the restructuring efforts seen in companies like PG&E (PCG) or Frontier Communications (FTRCQ).

Corporate Governance

Change Type	Description	Effective Date	Impact Assessment
Restructuring of Creditor Claims	Implementation of a global settlement among the Company Parties, the Ad Hoc Noteholder Group, and the Official Committee of Unsecured Creditors, resolving all disputes and potential litigation.	Not specified, subject to definitive documentation and Plan effectiveness	Aims to streamline the bankruptcy process by resolving key creditor disputes, potentially leading to a more efficient reorganization and clearer path forward for the company's governance post-bankruptcy.
Establishment of Creditor Trust	Establishment of a trust for the benefit of holders of Allowed Convertible Notes Claims and Allowed General Unsecured Claims, funded by $750,000, D&O Insurance Policies, and certain Estate Claims and Causes of Action.	On the effective date of the Plan	Provides a structured mechanism for distributing assets to certain classes of creditors, ensuring a defined process for resolving liabilities and potentially limiting future litigation against the company's post-reorganization entity.

Legal Proceedings

Zynex, Inc. and certain subsidiaries are currently undergoing voluntary Chapter 11 bankruptcy cases (In re Zynex, Inc., et al., Case No. 25-90810) in the United States Bankruptcy Court for the Southern District of Texas.

Stakeholder Impact

Shareholders: Expected to experience a significant loss on their investment, with common stock delisted from Nasdaq and trading on the Pink Limited Market.
Creditors (Ad Hoc Noteholder Group, Official Committee of Unsecured Creditors): Involved in a global settlement to resolve claims and will benefit from a newly established trust.
Management and Key Personnel: Uncertainty regarding the company's ability to retain key personnel and management during and after the Chapter 11 Cases.

Next Steps

The deregistration of the company's common stock under Section 12(b) of the Securities Exchange Act of 1934 will become effective 90 days, or such shorter period as the SEC may determine, after February 2, 2026.
The company will continue to seek Court approval for motions in the Chapter 11 Cases and confirmation of the Plan by requisite stakeholders.
Definitive documentation for the Global Settlement, including a trust agreement and related documentation, is subject to be filed in a supplement to the Plan.

Key Dates

Date	Description
2025-12-15	Zynex, Inc. and certain subsidiaries commenced voluntary Chapter 11 bankruptcy cases.
2025-12-17	Zynex received written notice from Nasdaq regarding the determination to delist the company's common stock.
2025-12-24	The company's common stock was suspended from trading on Nasdaq and began trading on the Pink Limited Market.
2026-01-14	The Company Parties filed the Initial Combined Disclosure Statement and Joint Plan of Reorganization with the Court.
2026-01-23	Nasdaq filed a Form 25 with the U.S. Securities and Exchange Commission (SEC).
2026-01-29	The Company filed an Amended Combined Disclosure Statement and Joint Plan of Reorganization with the Court.
2026-02-01	The Company filed a Second Amended Combined Disclosure Statement and Joint Plan of Reorganization with the Court.
2026-02-02	Nasdaq's Form 25 became effective, initiating the deregistration process for Zynex's common stock.

Recommendation

strong sell

The company is in Chapter 11 bankruptcy, has been delisted from Nasdaq, and explicitly warns that equity holders will experience a significant loss on their investment. These factors indicate severe financial distress and a high probability of substantial capital impairment for current shareholders, making a strong sell recommendation appropriate.

Keywords

bankruptcy, Chapter 11, delisting, restructuring, reorganization plan, global settlement, equity loss, OTC Markets, Zynex

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