Business Context and Reporting Period
This Form 8-K was filed by Palisade Bio, Inc. on October 20, 2023, reporting an event that occurred on October 19, 2023. The Company is a Delaware corporation with its principal executive offices in Carlsbad, California. Its common stock trades on the Nasdaq Capital Market under the symbol "PALI."
Key Financial Metrics
This filing does not contain financial statements, revenue, profit, cash flow, margin, debt, or liquidity data. The report focuses exclusively on a regulatory listing status update.
Material Changes
The Company received a notice from The Nasdaq Stock Market LLC stating that for 30 consecutive trading days preceding October 19, 2023, the closing bid price of its common stock was below the $1.00 per share minimum required for continued listing under Nasdaq Listing Rule 5550(a)(2). The stock continues to trade on the Nasdaq Capital Market at this time.
Outlook, Risks, and Management Commentary
- Compliance Period: The Company has 180 calendar days from the date of the notice to regain compliance. Compliance is achieved if the closing bid price is at least $1.00 for a minimum of 10 consecutive business days.
- Additional Compliance Period: If the Company fails to regain compliance within the initial 180 days, it may be afforded an additional 180 calendar days, provided it meets other listing standards (such as market value of publicly held shares) and indicates an intent to cure the deficiency.
- Delisting Risk: Failure to regain compliance by the end of the Compliance Period or the Additional Compliance Period will result in the delisting of the Company's common stock.
- Management Action: Management intends to monitor the closing bid price and may consider implementing available options to regain compliance.
Investor Verification Checklist
- Verify the current closing bid price of PALI stock to assess proximity to the $1.00 threshold.
- Monitor the stock price for 10 consecutive business days to determine if the initial compliance requirement is met.
- Review future filings for any announcements regarding reverse stock splits or other corporate actions intended to address the bid price deficiency.
- Check the Company's compliance with other Nasdaq listing standards (e.g., market value of publicly held shares) in case an Additional Compliance Period is required.