Avenue Therapeutics Faces Nasdaq Delisting Warning
Ticker: ATXI · Form: 8-K · Filed: Nov 29, 2024 · CIK: 1644963
Sentiment: bearish
Topics: delisting-warning, compliance, nasdaq
Related Tickers: AVTX
TL;DR
Nasdaq's threatening to delist AVTX for low stock price, they have until May 25, 2025 to fix it.
AI Summary
Avenue Therapeutics, Inc. announced on November 26, 2024, that it received a notice from The Nasdaq Stock Market LLC regarding its failure to meet the minimum bid price requirement for continued listing. The company has 180 calendar days, until May 25, 2025, to regain compliance by achieving a minimum closing bid price of $1.00 per share for at least 10 consecutive business days.
Why It Matters
Failure to regain compliance could lead to Avenue Therapeutics' stock being delisted from the Nasdaq, significantly impacting its liquidity and investor confidence.
Risk Assessment
Risk Level: high — The company is at high risk of delisting from Nasdaq due to its failure to meet the minimum bid price requirement, which could severely impact its stock's liquidity and market value.
Key Numbers
- 180 — Days to regain compliance (The company has this many days to meet the minimum bid price requirement.)
- $1.00 — Minimum bid price (The stock must close at or above this price for 10 consecutive business days to regain compliance.)
Key Players & Entities
- Avenue Therapeutics, Inc. (company) — Registrant
- The Nasdaq Stock Market LLC (company) — Listing Market
- November 26, 2024 (date) — Notice Date
- May 25, 2025 (date) — Compliance Deadline
- $1.00 (dollar_amount) — Minimum Bid Price Requirement
FAQ
What is the primary reason for Avenue Therapeutics receiving a notice from Nasdaq?
Avenue Therapeutics received the notice because it failed to meet the minimum bid price requirement for continued listing on The Nasdaq Stock Market LLC.
What is the deadline for Avenue Therapeutics to regain compliance with Nasdaq's listing rules?
The company has until May 25, 2025, to regain compliance with the minimum bid price requirement.
What specific action must Avenue Therapeutics take to comply with Nasdaq's minimum bid price rule?
Avenue Therapeutics must achieve a minimum closing bid price of $1.00 per share for at least 10 consecutive business days.
What is the filing date of this 8-K report?
The 8-K report was filed as of November 29, 2024, with the earliest event reported being November 26, 2024.
What is Avenue Therapeutics' principal executive office address?
Avenue Therapeutics' principal executive offices are located at 1111 Kane Concourse, Suite 301, Bay Harbor Islands, Florida 33154.
Filing Stats: 1,481 words · 6 min read · ~5 pages · Grade level 20 · Accepted 2024-11-29 16:05:25
Key Financial Figures
- $2,500,000 — intain stockholders' equity of at least $2,500,000 (the "Stockholders' Equity Requirement"
- $1,652,000 — , 2024 reported stockholders' equity of $1,652,000. In a decision dated June 3, 2024, a N
Filing Documents
- tm2429840d1_8k.htm (8-K) — 29KB
- 0001104659-24-124081.txt ( ) — 201KB
- atxi-20241126.xsd (EX-101.SCH) — 3KB
- atxi-20241126_lab.xml (EX-101.LAB) — 33KB
- atxi-20241126_pre.xml (EX-101.PRE) — 22KB
- tm2429840d1_8k_htm.xml (XML) — 4KB
01. Notice of Delisting or Failure to
Item 3.01. Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing. On November 26, 2024, Avenue Therapeutics, Inc. (the "Company") received a delist letter (the "Letter") from the Listing Qualifications Department (the "Staff") of The Nasdaq Stock Market LLC notifying the Company that it was not in compliance with the minimum stockholders' equity requirement for continued listing on The Nasdaq Capital Market under Nasdaq Listing Rule 5550(b)(1). Nasdaq Listing Rule 5550(b)(1) requires companies listed on The Nasdaq Capital Market to maintain stockholders' equity of at least $2,500,000 (the "Stockholders' Equity Requirement"). The Company's Quarterly Report on Form 10-Q for the period ended September 30, 2024 reported stockholders' equity of $1,652,000. In a decision dated June 3, 2024, a Nasdaq Hearings Panel (the "Panel") previously had confirmed that the Company regained compliance with the Stockholders' Equity Requirement. In the decision, the Panel imposed a Mandatory Panel Monitor for a period of one year or until May 21, 2025, which would require Staff to issue a Delist Determination Letter in the event that the Company failed to maintain compliance with the Stockholders' Equity Requirement (the "Panel Monitor"). Due to the Panel Monitor, the Company is not eligible to submit a plan to the Staff to request an extension of up to 180 calendar days in which to regain compliance with the Stockholders' Equity Requirement and as a result, the Staff has determined to delist the Company's securities from The Nasdaq Capital Market. Neither the Letter nor the Company's noncompliance have an immediate effect on the listing or trading of the Company's common stock, which will continue to trade on The Nasdaq Capital Market under the symbol "ATXI." Pursuant to the Letter, under Nasdaq Listing Rules, the Company may request a hearing before an independent Hearings Panel (the "Panel") by December 3, 2024. Accordingly, the Comp
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. AVENUE THERAPEUTICS, INC. (Registrant) Date: November 29, 2024 By: /s/ David Jin David Jin Interim Chief Financial Officer and Chief Operating Officer