Cara Therapeutics Faces Delisting Concerns

TL;DR

Cara Therapeutics might get delisted - big trouble ahead.

AI Summary

Cara Therapeutics, Inc. filed an 8-K on November 22, 2024, reporting a notice of delisting or failure to satisfy a continued listing rule or standard, and a transfer of listing. The filing date for the report is November 22, 2024, with the earliest event reported on November 19, 2024.

Why It Matters

This filing indicates potential issues with Cara Therapeutics' compliance with stock exchange listing requirements, which could lead to the company's shares being delisted.

Risk Assessment

Risk Level: high — A notice of delisting or failure to meet listing standards poses a significant risk to the company's stock trading and investor confidence.

Key Players & Entities

• Cara Therapeutics, Inc. (company) — Registrant
• November 19, 2024 (date) — Earliest event reported
• November 22, 2024 (date) — Filing date

FAQ

Key Financial Figures

• $0.001 — registered Common Stock, par value $0.001 per share CARA The Nasdaq Stock Marke
• $707,000 — e the Company's stockholders' equity of $707,000, as reported in the Company's Quarterly
• $2.5 m — 2024, was below the required minimum of $2.5 million, and because, as of the date of t
• $35 million — value of listed securities of at least $35 million or net income from continuing operation
• $500,000 — et income from continuing operations of $500,000 in the most recently completed fiscal y
• $1.00 — maintain a minimum closing bid price of $1.00 per share on any business day over a th

Filing Documents

• tm2429290d1_8k.htm (8-K) — 30KB
• 0001104659-24-122099.txt ( ) — 202KB
• cara-20241119.xsd (EX-101.SCH) — 3KB
• cara-20241119_lab.xml (EX-101.LAB) — 33KB
• cara-20241119_pre.xml (EX-101.PRE) — 22KB
• tm2429290d1_8k_htm.xml (XML) — 4KB

01

Item 3.01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing. On November 19, 2024, Cara Therapeutics, Inc. (the "Company") received a letter (the "Notice") from the Listing Qualifications Department (the "Staff") of The Nasdaq Stock Market ("Nasdaq") notifying the Company that it was not in compliance with the minimum stockholders' equity requirement for continued listing on The Nasdaq Capital Market as set forth in Nasdaq Listing Rule 5550(b)(1) (the "Stockholders' Equity Requirement"), because the Company's stockholders' equity of $707,000, as reported in the Company's Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2024, was below the required minimum of $2.5 million, and because, as of the date of the Notice (and as of the date of this report), the Company did not meet either of the alternative compliance standards, relating to market value of listed securities of at least $35 million or net income from continuing operations of $500,000 in the most recently completed fiscal year or in two of the last three most recently completed fiscal years. As with the Minimum Bid Price Deficiency Letter (as defined below), the Notice has no immediate effect on the listing of the Company's common stock on The Nasdaq Capital Market, and, therefore, the Company's listing remains fully effective, subject to the Company's compliance with the other continued listing requirements, and the Company's regaining compliance with the Stockholders' Equity Requirement. Under Nasdaq rules and as specified in the Notice, the Company has 45 calendar days from November 19, 2024, or until Friday, January 3, 2025, to submit to Nasdaq a plan to regain compliance with the Stockholders' Equity Requirement. If the Company's plan to regain compliance is accepted, Nasdaq may grant an extension of up to 180 calendar days from the date of the Notice for the Company to evidence compliance. The Company is presently evaluatin

Financial Statements and Exhibits

Financial Statements and Exhibits. (d) Exhibits. Exhibit No. Description 104 Cover Page Interactive Data File (the cover page XBRL tags are embedded within the inline XBRL document)

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. CARA THERAPEUTICS, INC. By: /s/ RYAN MAYNARD Ryan Maynard Chief Financial Officer Date: November 22, 2024

View Full Filing

View this 8-K filing on SEC EDGAR