Onconova Therapeutics,Inc. (NASDAQ:ONTX) Files An 8-K Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of ListingItem 3.01. Notice of Delisting or Failure to Satisfy a Continued Listing Ruleor Standard; Transfer of Listing.
OnAugust14, 2017, Onconova Therapeutics,Inc. (the “Company”) informed Nasdaq that the Company is no longer in compliance with the minimum stockholders’ equity requirement for continued listing on The Nasdaq Capital Market. Nasdaq Listing Rule 5550(b)(1)requires listed companies to maintain stockholders’ equity of at least $2.5 million. In the Company’s Quarterly Report on Form10-Q for the quarter ended June30, 2017, the Company reported stockholders’ equity of approximately $0.4 million, which is below the minimum stockholders’ equity required for continued listing to Nasdaq Listing Rule5550(b)(1). On August 16, 2017 the Company received a letter from Nasdaq confirming its noncompliance. In addition, as ofAugust16, 2017, the Company does not meet the alternative compliance standards relating to the market value of listed securities or net income from continuing operations.
This notification has no immediate effect on the listing of the Company’s securities on The Nasdaq Capital Market. Nasdaq has provided the Company with 45 calendar days, or untilOctober2, 2017, to submit a plan to regain compliance with the minimum stockholders’ equity standard. If the Company’s plan to regain compliance is accepted, Nasdaq may grant an extension until November 15, 2017, for the Company to regain compliance.
The Company is presently evaluating various courses of action to regain compliance and intends to timely submit a plan to Nasdaq to regain compliance with the Nasdaq Listing Rule5550(b)(1). However, there can be no assurance that the Company’s plan will be accepted or that if it is, the Company will be able to regain compliance and maintain its listing on The Nasdaq Capital Market. If the Company’s plan to regain compliance is not accepted or if Nasdaq does not grant an extension until November15, 2017 and the Company does not regain compliance byOctober2, 2017, or if the Company fails to satisfy another Nasdaq requirement for continued listing, Nasdaq could provide notice that the Company’s securities will become subject to delisting. In such event, Nasdaq rulespermit the Company to request a hearing before an independent Hearings Panel which has the authority to grant the Company an additional extension of time of up to 180 calendar days to regain compliance.