GRI BIO Receives Nasdaq Delisting Notice for Bid Price Deficiency

TL;DR

**GRI BIO got a Nasdaq delisting notice for low stock price, big trouble for investors.**

AI Summary

GRI BIO, Inc. (GRI) announced on January 5, 2024, that it received a delisting notice from The Nasdaq Capital Market because its common stock failed to maintain a minimum bid price of $1.00 per share for 30 consecutive business days. This is a significant concern for investors as it indicates the stock is underperforming and could be delisted, potentially making it harder to trade and reducing its liquidity and appeal.

Why It Matters

This matters because a delisting from Nasdaq could severely impact the stock's liquidity and investor confidence, making it harder for shareholders to sell their shares and potentially leading to further price declines.

Risk Assessment

Risk Level: high — The risk is high because a potential delisting from Nasdaq can significantly reduce a stock's liquidity and investor appeal, often leading to further price drops.

Analyst Insight

A smart investor would carefully evaluate GRI BIO's plan to regain Nasdaq compliance and consider the increased risk of holding shares given the potential for delisting and reduced liquidity. Monitoring future announcements regarding their compliance efforts is crucial.

Key Numbers

• $1.00 — Minimum Bid Price (The threshold GRI BIO's common stock failed to maintain on Nasdaq.)
• 30 — Consecutive Business Days (The period over which GRI BIO's stock price was below the minimum bid requirement.)

Key Players & Entities

• GRI BIO, Inc. (company) — the registrant receiving the delisting notice
• The Nasdaq Capital Market (company) — the exchange from which GRI BIO faces delisting
• $1.00 (dollar_amount) — the minimum bid price requirement
• January 5, 2024 (date) — the date of the earliest event reported regarding the delisting notice

Forward-Looking Statements

• GRI BIO's stock price will likely experience continued downward pressure. (GRI BIO, Inc.) — high confidence, target: Q1 2024
• The company will attempt to regain compliance with Nasdaq's listing rules. (GRI BIO, Inc.) — medium confidence, target: Q2 2024

FAQ

Key Financial Figures

• $0.0001 — ch registered Common Stock, par value $0.0001 per share GRI The Nasdaq Capital Mark
• $1.00 — he Company's common stock was less than $1.00 for the previous 30 consecutive busines
• $35,000,000 — value of listed securities of less than $35,000,000 and annual net income of less than $500
• $500,000 m — ,000 and annual net income of less than $500,000 maintain stockholders' equity of at least
• $2,500,000 — intain stockholders' equity of at least $2,500,000 (the "Stockholders' Equity Requirement"
• $0.10 — common stock has a closing bid price of $0.10 per share or less for ten consecutive t

Filing Documents

• val-20240105.htm (8-K) — 30KB
• val-20240105_g1.jpg (GRAPHIC) — 16KB
• val-20240105_g2.jpg (GRAPHIC) — 2KB
• 0001824293-24-000007.txt ( ) — 188KB
• val-20240105.xsd (EX-101.SCH) — 2KB
• val-20240105_lab.xml (EX-101.LAB) — 25KB
• val-20240105_pre.xml (EX-101.PRE) — 13KB
• val-20240105_htm.xml (XML) — 3KB

01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing

Item 3.01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing. On January 5, 2024, GRI Bio, Inc. (the "Company") received a letter (the "Letter") from the Listing Qualifications Department (the "Staff") of The Nasdaq Stock Market, LLC ("Nasdaq"), indicating that the Company no longer meets the minimum bid price requirement set forth in Nasdaq Listing Rule 5550(a)(2) (the "Minimum Bid Price Requirement") because the closing bid price for the Company's common stock was less than $1.00 for the previous 30 consecutive business days. The Letter is in addition to the previously disclosed letter received on November 22, 2023 from the Staff notifying the Company that it is not in compliance with the minimum stockholders' equity requirement for continued listing on The Nasdaq Capital Market (the "Notice") based on the information provided in the Company's Quarterly Report on Form 10-Q for the quarter ended September 30, 2023. Nasdaq Listing Rule 5550(b)(1) requires that companies listed on The Nasdaq Capital Market with a market value of listed securities of less than $35,000,000 and annual net income of less than $500,000 maintain stockholders' equity of at least $2,500,000 (the "Stockholders' Equity Requirement"). Neither the Letter nor Notice has an immediate effect on the Company's continued listing on The Nasdaq Capital Market. Under Nasdaq Listing Rule 5810(c)(3)(A), the Company has a 180-calendar day period, or until July 3, 2024 (the "Compliance Date"), to regain compliance with the Minimum Bid Price Requirement. The Minimum Bid Price Requirement will be met if the Company's common stock has a minimum closing bid price of at least $1.00 per share for a minimum of 10 consecutive business days during the 180-calendar day period, unless Nasdaq exercises its discretion to extend such 10day period. If the Company does not regain compliance by the Compliance Date, the Company may be eligible for an additional 180-calendar d

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Date: January 5, 2024 GRI BIO, INC. By: /s/ Leanne Kelly Name: Leanne Kelly Title Chief Financial Officer

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View this 8-K filing on SEC EDGAR