Aeterna Zentaris Receives NASDAQ Notification Regarding Minimum Bid Price Requirement
January 08 2020 - 4:01PM
Aeterna Zentaris Inc. (NASDAQ: AEZS) (TSX:
AEZS) today announced that it has received a
notification letter from The Nasdaq Stock Market LLC ("Nasdaq")
indicating that, because the closing bid price of the Company’s
common stock for 30 consecutive business days was below $1.00 per
share, the Company no longer meets the minimum bid price
requirement set forth in Nasdaq Listing Rule 5550(a)(2). Nasdaq
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.
The notification has no immediate effect on the
listing of the Company’s common shares on Nasdaq. In accordance
with Listing Rule 5810(c)(3)(A), the Company has a period of 180
calendar days from the date of notification, or until July 1, 2020,
to regain compliance with the minimum bid price requirement, during
which time the Company’s common shares will continue to trade on
the Nasdaq Capital Market. If at any time during the compliance
period the bid price of the Company’s common shares closes at or
above $1.00 per share for a minimum of 10 consecutive business
days, Nasdaq will provide written notification that the Company has
achieved compliance with the minimum bid price requirement. In the
event the Company does not regain compliance by July 1, 2020, the
Company may be eligible for additional time to regain compliance or
may face delisting.
The Company intends to monitor the closing bid
price of its common shares between now and July 1, 2020, and is
considering its options in order to regain compliance with the
Nasdaq Capital Market minimum bid price requirement. The Company
intends to cure the deficiency within the prescribed grace
period.
The Company is also listed on the Toronto Stock
Exchange and the notification letter does not affect the Company's
listing on that stock exchange.
About Aeterna Zentaris Inc.
Aeterna Zentaris Inc. is a specialty
biopharmaceutical company engaged in commercializing novel
pharmaceutical therapies, principally through out-licensing
arrangements. Aeterna Zentaris is the licensor and party to a
license and assignment agreement with Novo Nordisk A/S to carry out
development, manufacturing, registration, regulatory, and supply
chain for the commercialization of Macrilen™ (macimorelin), which
is to be used in the diagnosis of patients with adult growth
hormone deficiency in the United States and Canada. The clinical
development of Macrilen™ (macimorelin) for pediatric use is
ongoing. In addition, we are actively pursuing business development
opportunities for macimorelin in the rest of the world and to
monetize the value of our non-strategic assets.
Forward-Looking Statements
This press release contains forward-looking
statements (as defined by applicable securities legislation) made
pursuant to the safe-harbor provision of the U.S. Securities
Litigation Reform Act of 1995, which reflect our current
expectations regarding future events. Forward-looking statements
may include, but are not limited to statements preceded by,
followed by, or that include the words "will," "expects,"
"believes," "intends," "would," "could," "may," "anticipates," and
similar terms that relate to future events, performance, or our
results. Forward-looking statements in this press release include
the Company’s plans to regain compliance with the Nasdaq minimum
bid price within the prescribed grace period, the Company’s
possible eligibility for additional time to regain compliance with
such requirements upon expiration of the 180-day prescribed
compliance period, and the Company’s expectation that its common
shares will continue to be listed and traded on the Nasdaq Capital
Market during the prescribed compliance period. With respect to the
forward-looking statements contained in this press release, the
Company has made numerous assumptions regarding, among other
things, the risk that the Company’s common shares may be delisted
from the Nasdaq Capital Market, which could materially affects
their market price and liquidity. Forward-looking statements
involve known and unknown risks and uncertainties, including those
discussed in this press release and in our Annual Report on Form
20-F, under the caption "Key Information – Risk Factors" filed
with the relevant Canadian securities regulatory authorities in
lieu of an annual information form and with the U.S. Securities and
Exchange Commission. Known and unknown risks and uncertainties
could cause our actual results to differ materially from those in
forward-looking statements. Such risks and uncertainties include,
among others, our ability to regain compliance with the Nasdaq
minimum bid price within the prescribed grace periods, our ability
to continue as a going concern dependent, in part, on the ability
of Aeterna Zentaris to secure additional financing, our now heavy
dependence on the success of Macrilen™ (macimorelin) and related
out-licensing arrangements and the continued availability of funds
and resources to successfully commercialize the product, the
ability of Aeterna Zentaris to enter into out-licensing,
development, manufacturing and marketing and distribution
agreements with other pharmaceutical companies and keep such
agreements in effect, reliance on third parties for the
manufacturing and commercialization of Macrilen™ (macimorelin),
potential delay or termination of our pediatric clinical trial
program, potential disputes with third parties, leading to delays
in or termination of the manufacturing, development, out-licensing
or commercialization of our product candidates, or resulting in
significant litigation or arbitration, and, more generally,
uncertainties related to the regulatory process, our ability to
efficiently commercialize or out-license Macrilen™ (macimorelin),
the degree of market acceptance of Macrilen™ (macimorelin), our
ability to obtain necessary approvals from the relevant regulatory
authorities to enable us to use the desired brand names for our
product, the impact of securities class action litigation or other
litigation on our cash flow, results of operations and financial
position, our ability to take advantage of business opportunities
in the pharmaceutical industry, our ability to protect our
intellectual property, the potential of liability arising from
shareholder lawsuits and general changes in economic conditions.
Investors should consult our quarterly and annual filings with the
Canadian and U.S. securities commissions for additional information
on risks and uncertainties. Given these uncertainties and risk
factors, readers are cautioned not to place undue reliance on these
forward-looking statements. We disclaim any obligation to update
any such factors or to publicly announce any revisions to any of
the forward-looking statements contained herein to reflect future
results, events or developments, unless required to do so by a
governmental authority or applicable law.
Contact:
Leslie Auld Chief Financial Officer Aeterna
Zentaris Inc. IR@aezsinc.com (843) 900-3211
Aeterna Zentaris (NASDAQ:AEZS)
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