VERSES AI Suspended From Trading After Collapse of AI Business and Executive Exodus

Canadian exchange Cboe Canada pulled the plug on VERSES AI’s shares and warrants at the close of trading on June 19, triggering a 90-day review period to determine whether the company still meets listing requirements. The suspension caps a catastrophic week for the firm, whose stock had already been cut in half—from C$0.67 on June 12 to C$0.38 by the suspension date, a 43% plunge in just five sessions. At those levels, the entire market value stood at roughly C$3.74 million.

The trading halt followed a series of devastating announcements that effectively gutted the company’s core business. VERSES AI said it would cease all artificial intelligence activities, abandoning research, development and ongoing expenses due to a lack of capital, challenging market conditions and a commercialisation timeline deemed too distant to sustain. The Board concluded the firm could no longer function as an AI operator.

Simultaneously, the leadership ranks were decimated. President and COO James Hendrickson resigned on June 15, citing disputes with the Board over unpaid wages to W-2 employees—himself included. A Form 8-K filed on June 22 confirmed the rift. Chief Technology Officer Hari Thiruvengada and Chief Scientist Karl Friston have also vacated their roles, following earlier departures in February when board member Dan Mapes and the chief accountant left. Interim CEO David Scott acknowledged that recent attempts to raise capital through mergers, asset sales or other means had all fallen through.

Should investors sell immediately? Or is it worth buying VERSES AI?

The financial picture is dire. Free cash flow stands at negative US$27 million, leaving the company with less than a year of runway. A spring private placement raised only about C$1.1 million—a fraction of what was needed. Meanwhile, shareholders have suffered severe dilution, with the outstanding share count swelling by 26% over the past year.

Adding to the wreckage, VERSES AI terminated a ten-year licensing deal with Prodigii AI that had been signed just in April. That agreement guaranteed quarterly payments of US$125,000. It also ended its relationship with an unnamed global investment firm. Without these revenue streams and with no active AI operations, the company is now little more than a corporate shell.

The stock, which once traded above C$24, has lost nearly 60% of its value since the start of 2025. The last recorded price of C$0.38 sits barely above the 52-week low of C$0.37. With trading suspended, technical analysis and price targets are meaningless—all attention now turns to Cboe Canada’s 90-day deadline and whether management can find a viable strategic alternative. The company itself warns that there is no guarantee the process will yield a transaction capable of keeping it afloat.