Nasdaq has notified Celsion Corporation (NASDAQ:CLSN) that it no longer meets its listing requirement of a $1.00 minimum bid price. Now, the company has time till June to rectify or face expected delisting.
In December, Celsion received notice from the NASDAQ that the closing bid price for its common stock had dropped below $1 a share for 30 consecutive business days. Hence, the company is not in compliance with the bid price requirement for sustained inclusion on the renowned exchange as per Nasdaq Listing Rule 5550(a)(2). This notice has no instant effect on the listing of its shares on the NASDAQ Capital Market. It suggests that they will have time until June 13, 2017, to become compliant with this requirement.
Celsion stated that they can regain compliance with the minimum bid listing condition if the closing bid price of its common stock is minimum $1 per share for 10 successive business days in the given 180-day compliance period. If they fail to regain compliance in the preliminary compliance period, they may be eligible for more time to regain compliance. However, for that, they will be required to fulfill the continued listing condition for market value of their publicly held shares and other NASDAQ initial listing requirements, except the bid price condition.
They will need to give written notice to NASDAQ of their intention to remove the deficiency in the second compliance period. In event of company meeting these requirements, Nasdaq will grant company another 180 calendar days to recover compliance with the least bid price requirement. If it seems to NASDAQ that Celsion will not be able to fill the gap, or if they are otherwise not eligible, they anticipate that NASDAQ will notify company that its common stock will be open to delisting. Celsion can appeal a determination to delist its common stock, and the stock would continue to trade on the NASDAQ platform until the completion of the appeal procedure.