Business Context and Reporting Period
This Form 8-K was filed by Galectin Therapeutics Inc. on September 11, 2015, reporting events occurring on September 2, 2015, and September 8, 2015. The filing addresses a change in the Company's independent registered public accounting firm.
Key Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. This report focuses exclusively on corporate governance regarding the external auditor.
Material Changes
- Dismissal of Auditor: The Audit Committee dismissed McGladrey LLP as the independent registered public accounting firm effective September 8, 2015, for the fiscal year ending December 31, 2015.
- Appointment of New Auditor: The Committee appointed Cherry Bekaert LLP as the new independent registered public accounting firm, effective for the quarter ending September 30, 2015, and the fiscal year ending December 31, 2015. Engagement occurred on September 10, 2015.
- Audit History: McGladrey's reports for fiscal years 2013 and 2014 contained no adverse opinions, disclaimers, or qualifications. No "disagreements" or "reportable events" occurred during their tenure or the interim period through September 8, 2015.
Guidance, Outlook, and Risks
The filing contains no financial guidance, outlook, or management commentary regarding business operations. No risks or contingencies related to financial performance were disclosed. The Company confirmed that no consultations were held with Cherry Bekaert regarding accounting principles or reportable events prior to their appointment.
Investor Verification Checklist
- Verify the reasons for the auditor change by reviewing the letter from McGladrey LLP filed as Exhibit 16.1.
- Confirm the transition timeline for the new auditor, Cherry Bekaert LLP, for the Q3 2015 and FY 2015 periods.
- Review subsequent filings (e.g., 10-Q or 10-K) to assess if the change in auditor impacts the audit opinion or financial reporting standards.