Aeterna Zentaris Receives Nasdaq Notification Regarding Minimum Bid Price Compliance; No Immediate Impact on Listing
July 29 2020 - 07:05AM
Aeterna Zentaris Inc. (NASDAQ: AEZS) (TSX: AEZS) (“Aeterna
Zentaris” or the “Company”), a specialty biopharmaceutical company
commercializing and developing therapeutics and diagnostic tests,
today announced that on July 27, 2020, the Company received notice
from the Listing Qualifications Department (the “Staff”) of The
Nasdaq Stock Market LLC ("Nasdaq") indicating that, based upon a
closing bid price of less than $1.00 per share for the Company’s
common stock for the prior 30 consecutive business day period, the
Company no longer satisfies Nasdaq Listing Rule 5550(a)(2) (the
“Rule”).
In accordance with Nasdaq Listing Rule
5810(c)(3)(A), the Company has been provided a grace period of 180
calendar days, through January 25, 2021, to evidence compliance
with the Rule. To evidence compliance with the Rule, the Company
must evidence a closing bid price of at least $1.00 per share for a
minimum of 10 consecutive business days, but generally not more
than 20 consecutive business days, on or before January 25, 2021.
In the event the Company does not timely evidence compliance with
the Rule, the Company may be eligible for an additional 180-day
grace period or may face delisting. In the latter case, the Company
would be entitled to request a hearing before the Nasdaq Hearings
Panel, which request would stay any delisting action by the Staff
pending completion of the hearing process.
Nasdaq’s notice has no immediate effect on the
listing of the Company’s common shares on Nasdaq and does not
otherwise impact the Company’s listing on the Toronto Stock
Exchange. The Company is considering the options available to it to
evidence compliance with the Rule prior to the expiration of the
grace period.
In addition, as previously disclosed via Form
6-K filed with the Securities and Exchange Commission on July 1,
2020, Aeterna Zentaris priced an approximate $12 million public
offering of its common stock and warrants, pursuant to which the
Company ultimately raised approximately $10.5 million in net
proceeds.
As a result of the offering, the Company
believes it has stockholders’ equity of at least $2.5 million as of
the date of this filing and thereby satisfies the minimum
stockholders’ equity requirement for continued listing on The
Nasdaq Capital Market under Nasdaq Listing Rule 5550(b)(3). The
Company is awaiting Nasdaq’s formal confirmation of such compliance
and will provide additional disclosure upon receipt of a compliance
determination from the Staff.
About Aeterna Zentaris Inc.
Aeterna Zentaris Inc. is a specialty
biopharmaceutical company commercializing and developing
therapeutics and diagnostic tests. The Company’s lead product,
Macrilen™ (macimorelin), is the first and only U.S. FDA and
European Commission approved oral test indicated for the diagnosis
of adult growth hormone deficiency (AGHD). Macrilen™ is currently
marketed in the United States through a license agreement with Novo
Nordisk and Aeterna Zentaris receives double-digit royalties on
sales. Aeterna Zentaris owns all rights to macimorelin outside of
the U.S. and Canada.
Aeterna Zentaris is also leveraging the clinical
success and compelling safety profile of macimorelin to develop it
for the diagnosis of child-onset growth hormone deficiency (CGHD),
an area of significant unmet need.
The Company is actively pursuing business
development opportunities for the commercialization of macimorelin
in Europe and the rest of the world, in addition to other
non-strategic assets to monetize their value. For more information,
please visit www.zentaris.com and connect with the Company on
Twitter, LinkedIn and Facebook.
Forward Looking Statements
This press release contains certain
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934 and Private Securities Litigation Reform Act, as
amended, including those relating to the Company's ability to
regain compliance with the minimum bid price requirement, the
impact of Nasdaq’s notice on the listing of the Company’s common
shares on Nasdaq and the Toronto Stock Exchange and the Company’s
ability to meet the minimum stockholders’ equity requirement for
continued listing under Nasdaq Listing Rule 5550(b)(3). These
forward-looking statements are based on current expectations,
estimates, forecasts and projections about the industry and markets
in which we operate and management's current beliefs and
assumptions.
These statements may be identified by the use of
forward-looking expressions, including, but not limited to,
"expect," "anticipate," "intend," "plan," "believe," "estimate,"
"potential, "predict," "project," "should," "would" and similar
expressions and the negatives of those terms. These statements
relate to future events or our financial performance and involve
known and unknown risks, uncertainties, and other factors which may
cause actual results, performance or achievements to be materially
different from any future results, performance or achievements
expressed or implied by the forward-looking statements. Such
factors include those set forth in the Company's filings with the
Securities and Exchange Commission. Prospective investors are
cautioned not to place undue reliance on such forward-looking
statements, which speak only as of the date of this press release.
The Company undertakes no obligation to publicly update any
forward-looking statement, whether as a result of new information,
future events or otherwise.
Investor Contact:
Jenene Thomas JTC Team T (US): +1 (833) 475-8247 E:
aezs@jtcir.com
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