Intellipharmaceutics International Inc. (IPCI)

[WeeZuhl]

Remember what a RS does. You can not change 2+2. A RS does NOT A THING, NOT A PENNY, for the MC. If they hqd a MC that was in compliance then YES a RS WOULD make sense.

wimike, the market cap is irrelevant. Remember, there is an easy exception to the $35 million market cap requirement. All they need is $2.5 million in the bank. Recall in March when they avoided a delisting notice by raising $3.5 and $1.8 million, but by April they were broke again and back out of compliance. That's when they got the delisting notice. There are actually 3 ways to maintain compliance, but they all require $1 share price. So, unless they have something else up their sleeve, a reverse split followed by a big cash raise does adequately serve the purpose of maintaining NASDAQ listing. Really, the question is not whether there will be a RS. The better question is will the RS be 5:1, 10:1, or 20:1?


I think 5:1 is definitely out because it doesn't give enough buffer for the price to fall any further. The question of 10:1 vs 20:1 is entirely dependent on what UBS plans to do with their unwanted 7 million shares. In the past, UBS has been required by settlements with SEC and various states to repurchase Auction Rate Securities (ARS) from their clients at par value. If this is a similar arrangement, UBS not only owns 7 million shares of IPCI they never wanted, but they paid multiple dollars per share. Their 7M shares probably cost them more than the current market cap of the company. This is a big bank- how patient will they be with Dr. Odidi before they write this off as a total loss and dump those 7M shares on the open market? I shudder to think of it. If UBS dumps, then a 20:1 reverse split may not be enough.



The IPCI Shareholder Meeting in August might look more like Carrie's prom.





https://www.intellipharmaceutics.com/news-media/press-releases/detail/167/intellipharmaceutics-receives-delisting-determination-from

Intellipharmaceutics Receives Delisting Determination from NASDAQ Staff; Company to Request Hearing
April 24, 2018
TORONTO, ON / ACCESSWIRE / April 23, 2018 / Intellipharmaceutics International Inc. (NASDAQ: IPCI and 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 the Listing Qualifications Staff of The Nasdaq Stock Market LLC ("Nasdaq") indicating that the Staff has determined to delist the Company's securities from Nasdaq. On September 20, 2017, Staff notified the Company that it did not comply with the minimum $2.5 million stockholders' equity, $35 million market value of listed securities, or $500,000 of net income from continuing operations requirements set forth in Nasdaq Listing Rules 5550(b)(1), 5550(b)(2), or 5550(b)(3), respectively. The Company was provided a compliance period of 180 days to regain compliance. On March 26, 2018, following disclosure of completion of two financing transactions, the Staff notified the Company of conditional compliance with Listing Rule 5550(b)(1). The conditional compliance was also based on the Company's Form 6-K filed on March 22, 2018, in which the Company indicated its belief that its stockholders' equity was in excess of $2.5 million at that time. However, as described in a Form 6-K filed on April 16, 2018, based on the Company's actual results of operations for the three months ended February 28, 2018, the Company did not believe that it would meet Nasdaq's minimum stockholders' equity requirement if measured as of the date of such Form 6-K.

https://listingcenter.nasdaq.com/assets/continuedguide.pdf









https://ih.advfn.com/p.php?pid=nmona&article=77639767

UBS Group AG, for the benefit and on behalf of UBS Securities LLC and UBS Financial Services Inc., two-wholly owned subsidiaries of UBS AG to which UBS AG has delegated portions of its performance obligations with respect to the Auction Rate Securities Rights issued by UBS AG to certain clients and pursuant to which the securities reported herein have been purchased from such clients.