Business Context and Reporting Period
RXi Pharmaceuticals Corporation (also referred to as Phio Pharmaceuticals Corp.) filed a Form 8-K on March 29, 2018. The report addresses a regulatory notice received from the Nasdaq Stock Market regarding the company's continued listing status.
Key Financial Metrics
The filing does not provide specific revenue, profit, cash flow, or debt figures. However, it references the company's Annual Report on Form 10-K for the period ended December 31, 2017, which disclosed stockholders' equity below the required threshold.
- Stockholders' Equity: Below the required minimum of $2.5 million as of December 31, 2017.
- Liquidity/Debt: No specific data provided in this filing.
Material Changes
The material change reported is the receipt of a Notification Letter from Nasdaq on March 29, 2018. The company is not in compliance with Nasdaq Listing Rule 5550(b)(1), which mandates a minimum of $2.5 million in stockholders' equity for continued listing on The Nasdaq Capital Market.
Outlook, Risks, and Management Commentary
Current Status: The Notification Letter does not immediately impact the company's listing on The Nasdaq Capital Market.
Compliance Plan: The company has 45 calendar days to submit a plan to regain compliance. If accepted, Nasdaq may grant an extension of up to 180 calendar days from March 29, 2018, to evidence compliance.
Management Intent: The company intends to provide the required plan to Nasdaq on or before the 45-day deadline.
Investor Verification Checklist
- Verify the exact stockholders' equity figure from the Form 10-K for the period ended December 31, 2017.
- Monitor the submission of the compliance plan within the 45-day window.
- Track Nasdaq's acceptance of the plan and any granted extension periods.
- Review subsequent filings for updates on capital raising efforts or equity improvements.