Intellipharmaceutics Receives Anticipated Additional Staff Determination Letter from NASDAQ
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June 08, 2018
TORONTO, ON / ACCESSWIRE / June 8, 2018 / Intellipharmaceutics International Inc. (NASDAQ: IPCI; TSX: IPCI) ("Intellipharmaceutics" or the "Company"), a pharmaceutical company specializing in the research, development and manufacture of novel and generic controlled-release and targeted-release oral solid dosage drugs, today announced that it has received a letter from Nasdaq Listings Qualification staff (the "Staff") formally notifying the Company that its 180-day grace period for the $1.00 per share bid price requirement period has expiredand that therefore the Company is non-compliant with Nasdaq Listing Rule 5550(a)(2). While the Company understands has the opportunity to provide a submission to the Nasdaq Hearings Panel (the''Panel''), it does not intend to do so since the Company proactively addressed the bid price issue at the hearing held on May 17, 2018, and since Panel has already granted the Company a further extension within which to address the bid price issue.
The Company was first notified by Nasdaq that it failed to comply with the minimum bid price requirement in December 2017. In accordance with Nasdaq Listing Rule 5810(c)(3)(A), the Company was provided 180 calendar days, or until June 4, 2018, to regain compliance with such rule.
As previously reported, at a hearing held by the Panel on May 17, 2018, the Company presented its plan to regain and maintain compliance with Nasdaq's continued listing requirements, including with respect to the minimum bid price and stockholders' equity requirements. By decision dated May 21, 2018, the Panel granted the Company's request for an extension, through September 28, 2018, to evidence compliance with all applicable requirements for continued listing on Nasdaq, including the $1.00 bid price requirement. Accordingly, the Staff's most recent notice should have no impact on the Company's continued listing on Nasdaq at this time. On or before September 28, 2018, the Company must comply with the minimum bid price requirement by having a closing bid price of over US$1.00 for at least ten prior consecutive trading days. The Company must also have by September 28, 2018 a stockholders' equity position of over $2.5 million. Finally, the Company must by that date provide the Panel with updated financial projections demonstrating its ability to maintain compliance with the stockholders' equity rule for the coming year. There is no assurance that the Company will be able to regain compliance with the Nasdaq requirements, or if it does, that the Company will be able to maintain such compliance.
