Replies to post #34384 on Intellipharmaceutics International Inc. (IPCI)

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Intellipharmaceutics Receives Delisting Determination from NASDAQ Staff; Company to Request Hearing

ACCESSWIRE
April 23, 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.

As a result, unless the Company requests a hearing before a Nasdaq Hearings Panel (the "Panel") by April 27, 2018, trading of the Company's securities will be suspended at the opening of business on May 1, 2018. The Company currently intends to request a hearing before the Panel at which it will present its plan of compliance. This request will automatically stay any delisting or suspension action pending the issuance of a final decision by the Panel. There is no assurance that the Company's appeal before the Panel will be successful.

In the event that the Company is successful in its appeal before the Panel, there remains pending a separate notice of noncompliance with Nasdaq's listing standards. As previously disclosed, in December 2017, the Company was notified by Nasdaq that the minimum bid price per share for its common shares was below $1.00 for a period of 30 consecutive business days and that the Company did not meet the minimum bid price requirement set forth in Listing Rule 5550(a)(2). The Company has a period of 180 calendar days, or until June 4, 2018, to regain compliance with Nasdaq's minimum bid price requirement. There is no assurance that the Company will be able to regain compliance with this Nasdaq requirement, or if it does, that the Company will be able to maintain such compliance.