Compugen Announces Receipt of Nasdaq Minimum Bid Price Notification

Rhea-AI Summary

Compugen Ltd. received a notification letter from Nasdaq stating that its ordinary shares failed to maintain a minimum bid price of $1.00 over the previous 30 consecutive business days. The company has 180 calendar days to regain compliance with the Minimum Bid Price Requirement. If compliance is not achieved by May 1, 2024, the company may be eligible for an additional 180-day grace period. If still non-compliant after that, the company's ordinary shares may be subject to delisting from the Nasdaq Capital Market.

HOLON, Israel, Nov. 3, 2023 /PRNewswire/ -- Compugen Ltd. (Nasdaq: CGEN) (TASE: CGEN) a clinical-stage cancer immunotherapy company and a pioneer in computational target discovery, announced today that on November 3, 2023, it received a notification letter from the Listing Qualifications Department of The Nasdaq Stock Market LLC ("Nasdaq") notifying the Company that its ordinary shares failed to maintain a minimum bid price of $1.00 over the previous 30 consecutive business days as required by Nasdaq Listing Rule 5550(a)(2) (the "Minimum Bid Price Requirement"). The receipt of the Nasdaq notification letter does not result in the immediate delisting of the Company's ordinary shares from the Nasdaq Capital Market and has no current immediate effect on the listing or trading of the Company's ordinary shares on the Nasdaq Capital Market, under symbol "CGEN."

Pursuant to Nasdaq Listing Rule 5810(c)(3)(A), the Company has a compliance period of 180 calendar days from the date of the notification letter from Nasdaq, or until May 1, 2024, to regain compliance with the Minimum Bid Price Requirement. If at any time before May 1, 2024, the closing bid price of the Company's ordinary shares is at least $1.00 for a minimum of 10 consecutive business days, unless Nasdaq exercises its discretion to extend this 10 day period pursuant to Rule 5810(c)(3)(H), the Company will be deemed to have regained compliance with the Minimum Bid Price Requirement, following which, Nasdaq will provide a written confirmation of compliance and the matter will be closed.

In the event that Compugen does not regain compliance by May 1, 2024, the Company may be eligible for an additional 180 calendar day grace period provided that it meets the applicable standards for initial listing of its ordinary shares on the Nasdaq Capital Market (other than the Minimum Bid Price Requirement). To be eligible, the Company will also need to provide a written notice of its intention to cure the deficiency during this second compliance period by effecting a reverse share split, if necessary. If the Company does not regain compliance with the Minimum Bid Price Requirement during the second 180 calendar day grace period (by November 9, 2024), and is ineligible for an additional grace period, Nasdaq will provide written notice that the ordinary shares of the Company are subject to delisting from the Nasdaq Capital Market. In that event, the Company may appeal the determination to a Nasdaq hearings panel.

Compugen intends to monitor the closing bid price of its ordinary shares. Receipt of the Nasdaq notification letter has no effect on the Company's business operations.

About Compugen

Compugen is a clinical-stage therapeutic discovery and development company utilizing its broadly applicable predictive computational discovery capabilities to identify new drug targets and biological pathways for developing cancer immunotherapies. Compugen has developed two proprietary product candidates: COM701, a potential first-in-class anti-PVRIG antibody and COM902, a potential best-in-class antibody targeting TIGIT for the treatment of solid tumors. Compugen also has a clinical stage partnered program, rilvegostomig (previously AZD2936), a PD-1/TIGIT bi-specific derived from COM902, in Phase 2 development by AstraZeneca through a license agreement for the development of bi-specific and multi-specific antibodies. In addition, the Company's therapeutic pipeline of early-stage immuno-oncology programs consists of programs aiming to address various mechanisms of immune resistance. The most advanced program, COM503, is in IND enabling studies. COM503 is a potential first-in-class, high affinity antibody which blocks the interaction between IL-18 binding protein and IL-18, thereby freeing natural IL-18 to inhibit cancer growth in the tumor microenvironment. Compugen is headquartered in Israel, with offices in San Francisco, CA. Compugen's shares are listed on Nasdaq and the Tel Aviv Stock Exchange under the ticker symbol CGEN. 

Company contact:
Yvonne Naughton, Ph.D.
Head of Investor Relations and Corporate Communications
Email: ir@cgen.com  
Tel: +1 (628) 241-0071  

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SOURCE Compugen Ltd.

FAQ

What is the Minimum Bid Price Requirement?

The Minimum Bid Price Requirement is a rule by Nasdaq that requires companies to maintain a minimum bid price of $1.00 for their shares.

What happens if a company fails to meet the Minimum Bid Price Requirement?

If a company fails to meet the Minimum Bid Price Requirement, it is given a compliance period to regain compliance. If compliance is not achieved within the specified period, the company's shares may be subject to delisting from the Nasdaq Capital Market.

What is the compliance period for Compugen?

Compugen has a compliance period of 180 calendar days from the date of the notification letter to regain compliance with the Minimum Bid Price Requirement.

What happens if Compugen does not regain compliance within the compliance period?

If Compugen does not regain compliance within the compliance period, it may be eligible for an additional 180-day grace period. If compliance is still not achieved after the grace period, the company's ordinary shares may be subject to delisting from the Nasdaq Capital Market.

Can Compugen appeal the delisting determination?

Yes, Compugen can appeal the delisting determination to a Nasdaq hearings panel.