TORONTO, Nov. 16, 2016 /PRNewswire/ - Merus Labs
International Inc. ("Merus" or the "Company")
(TSX: MSL, NASDAQ: MSLI) announced that it has received written
notification from The NASDAQ Stock Market LLC ("Nasdaq") that it is
not in compliance with the minimum bid price requirement of US
$1.00 per share. This does not
impact the Company's Nasdaq listing at this time and the Company
intends to address this deficiency within the prescribed grace
period.
Background
Nasdaq Listing Rule 5550(a)(2) requires listed securities to
maintain a minimum bid price of US $1.00 per share, and
Listing Rule 5810(c)(3)(A) provides that a failure to meet the
minimum bid price requirement exists if the deficiency continues
for a period of 30 consecutive business days. Based on the closing
bid price of the Company's common stock for the 30 consecutive
business days to November 10, 2016,
the Company no longer meets rule 5550(a)(2).
In accordance with Nasdaq Listing Rule 5810(c)(3)(A), the
Company has been provided 180 calendar days, or until May 9, 2017,
to regain compliance. To regain compliance, the Company's common
shares must have a closing bid price of at least US $1.00 for a
minimum of 10 consecutive business days. In the event the Company
does not regain compliance by May 9, 2017, the Company may be
eligible for an additional 180 period to regain compliance.
The Company intends to monitor the closing bid price of its
common shares between now and May 9, 2017 and intends to
cure the deficiency within the prescribed grace period. During this
time, the Company's common shares will continue to be listed and
trade on the Nasdaq Capital Market.
The Company's business operations are not affected by the
receipt of this notification.
The Company is also listed on the TSX and the notification does
not affect the Company's compliance status with such listing.
About Merus Labs
Merus Labs is a specialty pharmaceutical company focused on
acquiring established and growth products. The Company leverages
its expertise and platform in Europe, Canada and select other markets to deliver
value.
Forward-Looking Statements
Certain statements contained in this press release may
constitute "forward-looking statements" within the meaning of the
United States Private Securities Litigation Reform Act of 1995 and
applicable Canadian securities legislation. Forward-looking
statements include statements relating to the Company's ability to
regain compliance with the NASDAQ minimum bid price requirements,
future business and operating plans, the future pricing of the
Company's products, the Company's ability to acquire future
products, the Company's ability to secure financing to complete
acquisitions, and the Company's future results of operations. Such
statements involve assumptions relating to the Company's business,
including government regulation of the pricing of the Company's
products, the competitive environment of the Company's products,
the stability of foreign exchange rates and the availability of
prospective acquisition targets. Although the Company's management
believes that the assumptions underlying these forward-looking
statements are reasonable, they may prove to be incorrect. Such
forward-looking statements involve known and unknown risks,
uncertainties and other factors that may cause the Company's actual
results to be materially different from any future results
expressed or implied by these statements, including the ability to
regain compliance with the NASDAQ minimum bid price requirements.
Such factors include the following: general economic and business
conditions, changes in demand for Merus' products, changes in
competition, the ability of Merus to integrate
acquisitions or complete future acquisitions, Merus' ability
to complete any financing, interest rate fluctuations, currency
exchange rate fluctuations, dependence upon and availability of
qualified personnel and changes in government regulation. Investors
should refer to the Company's MD&A, Annual Information Form and
Annual Report on 40-F for the year ended September 30, 2015 and subsequent interim
financial statements and MD&A for a more comprehensive
discussion of the risks that are material to the Company and its
business. In light of these and other uncertainties, the
forward-looking statements included in this press release should
not be regarded as a representation
by Merus that Merus' plans, objectives and guidance
will be achieved. These forward-looking statements speak only as of
the date of this press release, and we undertake no obligation to
update or revise the statements.
SOURCE Merus Labs Inc.