Item 3.01. Notice of Delisting or Failure to Satisfy a Continuing Listing Rule or Standard; Transfer of Listing.
Onconova Therapeutics, Inc. (the Company or we) is required to meet certain qualitative and financial tests to maintain the listing of our securities on The Nasdaq Capital Market. As previously disclosed, as of March 31, 2017, June 30, 2017, September 30, 2017 and December 31, 2017, our total stockholders equity was $(2.7) million, $0.4 million $(6.1) million and $(10.9) million, respectively. As a result, we did not comply with the Nasdaqs $2.5 million minimum stockholders equity requirement, nor the alternative compliance standards under Nasdaq Listing Rule 5550(b) for the continued listing of our securities on The Nasdaq Capital Market. In addition, as previously disclosed, the Nasdaq Staff notified us of the noncompliance and, after granting a grace period and reviewing our proposed plan to regain compliance, the Nasdaq Staff had determined to seek to delist our securities from Nasdaq unless we requested a hearing before a Nasdaq Hearings Panel (the Panel). Accordingly, we requested and had a hearing on January 18, 2018 before the Panel, which has the authority to grant us an additional extension of time to regain compliance.
On February 2, 2018, we received a letter from the Panel stating that the Panel had granted the Company an extension to April 13, 2018 to regain compliance with the continued listing requirements of The Nasdaq Capital Market, which may be accomplished by demonstrating minimum stockholders equity of $2.5 million or having a market value of listed securities of at least $35 million for ten consecutive trading days, as defined in Nasdaq Listing Rule 5550(b).
As of April 13, 2018, we were not able to regain compliance. On April 11, 2018, we submitted a written request to the Panel requesting an extension to May 14, 2018 to regain compliance.
On April 23, 2018, we received a letter from the Panel stating that the Panel has granted the Company an extension to May 14, 2018 to regain compliance.
There is no assurance that we will regain compliance on or before May 14, 2018, and even if we do, that we will be able to maintain compliance. If we are unable to regain compliance by May 14, 2018 or maintain compliance and our securities are delisted, it could be more difficult to buy or sell our securities and to obtain accurate quotations, and the price of our securities could suffer a material decline. Delisting could also impair our ability to raise capital.
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