Business Context and Reporting Period
This Form 8-K is filed by Neuralstem, Inc. (not Palisade Bio, Inc.) on October 21, 2016, regarding an event that occurred on October 18, 2016. The filing addresses the Company's status on The Nasdaq Capital Market.
Key Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. The primary financial metric referenced is the stock's closing bid price, which failed to meet the minimum $1.00 requirement for 30 consecutive business days.
Material Changes
- Delisting Notice: The Company received notice from the NASDAQ Listing Qualifications Staff that its securities will be delisted due to continued non-compliance with the $1.00 minimum bid price requirement.
- Grace Period Expiration: The 180-calendar day grace period granted on April 20, 2016, to regain compliance expired on October 17, 2016, without the Company evidencing compliance.
Outlook, Risks, and Management Commentary
- Appeal Process: The Company will request a hearing before the Nasdaq Hearings Panel within seven days of the notification to stay the delisting action.
- Compliance Plan: The Company intends to present a plan to regain compliance, which may include a reverse stock split. Shareholders previously approved a reverse stock split of up to 1-for-15 at a special meeting on August 29, 2016.
- Risks: Management states there can be no assurance that the Panel will allow the stock to remain listed or that the Company will be able to demonstrate compliance within the timeframe granted.
Investor Verification Checklist
- Verify the current status of the hearing request with the Nasdaq Hearings Panel.
- Confirm whether the Company has officially filed for the reverse stock split to address the bid price deficiency.
- Monitor the stock's bid price to see if it has recovered above the $1.00 threshold.
- Check for subsequent filings regarding the Panel's final decision on the delisting.