Ocean Biomedical (OCEA) to be Delisted from Nasdaq Jan 29
Ticker: OCEA · Form: 8-K · Filed: Jan 19, 2024 · CIK: 1869974
Complexity: simple
Sentiment: bearish
Topics: delisting, regulatory-action, liquidity-risk
TL;DR
**OCEA is getting delisted from Nasdaq on Jan 29, expect major liquidity issues and price drops.**
AI Summary
Ocean Biomedical, Inc. (OCEA) announced on January 17, 2024, that it received a delisting notice from The Nasdaq Stock Market LLC because its common stock and warrants failed to meet continued listing standards. This means trading of OCEA's securities will be suspended from Nasdaq at the opening of business on January 29, 2024. This is critical for investors as it signals a significant loss of liquidity and prestige, potentially making it harder to buy or sell shares and likely leading to a further decline in stock value.
Why It Matters
Delisting from Nasdaq significantly reduces a stock's visibility and liquidity, making it much riskier and harder for investors to trade, often leading to substantial price drops.
Risk Assessment
Risk Level: high — Delisting from a major exchange like Nasdaq is a severe event that typically leads to a significant loss of investor confidence, liquidity, and stock value.
Analyst Insight
A smart investor would consider selling any existing OCEA shares before January 29, 2024, to avoid potential illiquidity and further price depreciation, or at least be aware of the significantly increased risk.
Key Players & Entities
- Ocean Biomedical, Inc. (company) — the registrant being delisted
- The Nasdaq Stock Market LLC (company) — the stock exchange delisting OCEA
- January 17, 2024 (date) — date of the earliest event reported (delisting notice)
- January 29, 2024 (date) — date trading of OCEA securities will be suspended from Nasdaq
- $0.0001 (dollar_amount) — par value of OCEA's common stock
Forward-Looking Statements
- OCEA's stock price will experience significant downward pressure following the delisting. (OCEA) — high confidence, target: Q1 2024
- Liquidity for OCEA shares will drastically decrease after January 29, 2024. (OCEA) — high confidence, target: February 2024
FAQ
What is the primary reason Ocean Biomedical, Inc. is being delisted from Nasdaq?
The filing states that Ocean Biomedical, Inc. received a notice of delisting or failure to satisfy a continued listing rule or standard from The Nasdaq Stock Market LLC.
When will Ocean Biomedical, Inc.'s securities be suspended from trading on Nasdaq?
Trading of Ocean Biomedical, Inc.'s securities will be suspended from Nasdaq at the opening of business on January 29, 2024.
What types of securities of Ocean Biomedical, Inc. are affected by this delisting?
Both the Common Stock, $0.0001 par value, and Warrants (each exercisable for one share of common stock) of Ocean Biomedical, Inc. are affected by this delisting.
What was the date of the earliest event reported in this 8-K filing?
The date of the earliest event reported in this 8-K filing was January 17, 2024.
What is Ocean Biomedical, Inc.'s CIK number and SIC code?
Ocean Biomedical, Inc.'s Central Index Key (CIK) is 0001869974, and its Standard Industrial Classification (SIC) is PHARMACEUTICAL PREPARATIONS [2834].
Filing Stats: 638 words · 3 min read · ~2 pages · Grade level 13.3 · Accepted 2024-01-19 17:05:36
Key Financial Figures
- $0.0001 — ction 12(b) of the Act: Common Stock, $0.0001 par value OCEA The Nasdaq Stock Mar
- $11.50 — of common stock at an exercise price of $11.50 OCEAW The Nasdaq Stock Market LLC
- $35 million — s been below the minimum requirement of $35 million for continued listing on the Nasdaq Cap
Filing Documents
- form8-k.htm (8-K) — 39KB
- 0001493152-24-003091.txt ( ) — 251KB
- ocea-20240117.xsd (EX-101.SCH) — 3KB
- ocea-20240117_def.xml (EX-101.DEF) — 26KB
- ocea-20240117_lab.xml (EX-101.LAB) — 36KB
- ocea-20240117_pre.xml (EX-101.PRE) — 25KB
- form8-k_htm.xml (XML) — 5KB
From the Filing
UNITED SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of Report (Date of earliest event reported): January 17, 2024 OCEAN BIOMEDICAL, INC. (Exact name of registrant as specified in its charter) Delaware 001-40793 87-1309280 (State or other jurisdiction of incorporation) (Commission File Number) (IRS Employer Identification No.) 55 Claverick St. , Room 325 Providence , RI 02903 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (401) 444-7375 Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Securities registered pursuant to Section 12(b) of the Act: Common Stock, $0.0001 par value OCEA The Nasdaq Stock Market LLC Warrants, each warrant exercisable for one share of common stock at an exercise price of $11.50 OCEAW The Nasdaq Stock Market LLC (Title of Each Class) (Trading Symbol) (Name of Each Exchange on Which Registered) Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (CFR 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (CFR 240.12b-2 of this chapter). Emerging growth company If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. Item 3.01 N otice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing . On January 17, 2024, Ocean Biomedical, Inc. (the " Company ") was notified (the " Notification Letter ") by The Nasdaq Stock Market, LLC (" Nasdaq ") that for the last thirty (30) consecutive business days, the Company's Market Value of Listed Securities (" MVLS ") has been below the minimum requirement of $35 million for continued listing on the Nasdaq Capital Market under Nasdaq Listing Rule 5550(b)(2). The Notification Letter has no immediate effect on the listing or trading of the Company's common stock and the common stock will continue to trade on the Nasdaq Capital Market under the symbol "OCEA." Under Nasdaq Listing Rule 5810(c)(3)(C), Company has 180 calendar days, or until July 15, 2024, to regain compliance with Nasdaq Listing Rule 5550(b)(2). To regain compliance with Nasdaq Listing Rule 5550(b)(2), the Company's MVLS must close at $35 million or more for a minimum of ten consecutive business days. If the Company does not regain compliance with Rule 5550(b)(2) by July 15, 2024, the Company will receive written notification from Nasdaq that its securities are subject to delisting. In the event of such a notification, the Company may appeal the delisting determination to a Hearings Panel. The Company intends to monitor its MVLS and consider available options to regain compliance with Nasdaq's continued listing standards. While the Company is exercising diligent efforts to maintain the listing of the Common Stock on the Nasdaq Capital Market, there can be no assurance that the Company will be successful in maintaining its listing of its common stock on the Nasdaq Capital Market. SIGNATURE 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 19, 2024 OCEAN BIOMEDICAL, INC. By: /s/ Elizabeth Ng Elizabeth Ng Chief Executive Officer