Business Context and Reporting Period
This Form 8-K is filed by Second Sight Medical Products, Inc. (not Vivani Medical, Inc.) on January 25, 2019. The report addresses a regulatory notice received from The Nasdaq Stock Market regarding the company's compliance with continued listing standards.
Key Financial Metrics
This filing does not contain financial statements, revenue, profit, cash flow, or debt metrics. The only financial data point provided is the stock price performance:
- Stock Price: The closing bid price of the Company's common stock was below $1.00 per share for 30 consecutive business days preceding January 25, 2019.
- Listing Status: The stock continues to trade on the Nasdaq Capital Market under the symbol "EYES" pending compliance actions.
Material Changes
The material change reported is the receipt of a formal Notice from Nasdaq indicating a failure to satisfy the Minimum Bid Price Requirement. This triggers a compliance period during which the company must restore its stock price to at least $1.00 for 10 consecutive business days to avoid potential delisting.
Outlook, Risks, and Management Commentary
- Compliance Period: The Company has 180 calendar days from the date of the Notice to regain compliance.
- Remediation Options: If the Company fails to regain compliance within the initial period but meets other listing standards, it may request an additional 180-day period, potentially by effecting a reverse stock split.
- Delisting Risk: Failure to regain compliance by the end of the compliance period (or any extension) will result in delisting.
- Consequences of Delisting: If delisted, trading may move to the over-the-counter market (e.g., Pink Sheets or OTC Bulletin Board). This could adversely affect the Company's ability to fund its business plan, reduce liquidity, and decrease analyst and media coverage.
- Management Action: Management intends to monitor the stock price and may consider available options, including a reverse stock split, to regain compliance.
Investor Verification Checklist
- Verify the current closing bid price of Second Sight Medical Products, Inc. (EYES) to assess progress toward the $1.00 threshold.
- Monitor for any subsequent filings regarding a reverse stock split or other capital structure changes.
- Review the company's liquidity position in recent 10-K or 10-Q filings to understand the potential impact of delisting on funding operations.
- Confirm the exact deadline for the 180-day compliance period to track the timeline for potential delisting.