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Scinai Immunotherapeutics, a biopharmaceutical company specializing in inflammation and immunology products for autoimmune and infectious diseases, is facing a noncompliance alert from NASDAQ. The alert stems from a violation of the minimum bid price rule, which requires shares to maintain a value of at least $1 per share. Today, Scinai confirmed that it received the notice on November 1, 2023, which gives the company a 180-day compliance period ending April 29, 2024.
In an effort to regain compliance, Scinai is planning to closely monitor its American Depository Shares (ADSs) closing bid price and may deploy various strategies to meet NASDAQ’s requirement. The company’s ADSs listing or trading are not immediately affected by these NASDAQ notifications.
In addition to addressing its share price issue, Scinai is also working with its principal creditor, the European Investment Bank. The bank is contemplating an adjustment to its financial facility contract with Scinai by extending its maturity. This potential alteration could bolster Scinai’s shareholders’ equity and aid in restoring compliance with NASDAQ’s minimum shareholders’ equity rules.
Beyond its immediate compliance concerns, Scinai continues to make progress in its core business areas. The company offers boutique CDMO services and is advancing with a nanosized VHH antibody pipeline designed to address diseases with high unmet medical needs as a key part of its product portfolio.
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