Palatin Technologies Announces Transition to OTC Pink Following NYSE American Delisting Notice
Rhea-AI Summary
Palatin Technologies (PTN) has received a delisting notice from NYSE American due to its low stock price, resulting in immediate suspension of trading on the exchange. The company's shares will transition to trading on the OTC Pink Market under the symbol "PTNT" starting May 8, 2025.
The company plans to appeal the delisting decision by the deadline of May 14, 2025, though success is not guaranteed. CEO Carl Spana expressed disappointment but affirmed the company's commitment to advancing their business plan and increasing stockholder value. Palatin Technologies focuses on developing first-in-class medicines targeting the melanocortin receptor system.
Positive
- None.
Negative
- Delisting from NYSE American due to low stock price
- Immediate trading suspension on NYSE American
- Downgrade to less prestigious OTC Pink Market trading
- Potential reduced visibility and trading liquidity for shareholders
Insights
NYSE American delisting moves Palatin to less prestigious OTC Pink market, signaling serious concerns about company's market position.
Palatin Technologies' delisting from NYSE American represents a significant negative development that drastically changes the company's market status. The exchange specifically cited the low selling price of Palatin's common stock as the basis for delisting under Section 1003(f)(v) of the NYSE American Company Guide. This has triggered immediate suspension of trading on the exchange, forcing transition to the OTC Pink Market under the new ticker symbol "PTNT" beginning May 8, 2025.
This transition to OTC Pink—often called the "pink sheets"—materially changes Palatin's market profile. OTC Pink markets have substantially lower listing requirements than national exchanges and typically feature:
- Reduced trading liquidity and wider bid-ask spreads
- Decreased institutional investor participation
- Minimal financial reporting requirements
- Less visibility and market attention
While Palatin has until May 14, 2025 to appeal the determination, history shows such appeals rarely succeed without substantial changes to a company's financial condition or share price. CEO Carl Spana's statement that the company has "valuable assets" and remains committed to its business plan provides little concrete information about how the company might address the underlying issues that led to the delisting.
The transition from a national exchange to OTC Pink is a clear indication that market participants have significant concerns about Palatin's current trajectory. For a biopharmaceutical company developing melanocortin receptor system medicines, this market demotion may create additional obstacles at a time when maintaining investor confidence is particularly crucial.
The Company Intends to Request a Review of the Delisting Determination
As a result, trading of Palatin's common stock on the NYSE American has been immediately suspended, and the shares will transition to the OTC Pink Market under the ticker symbol "PTNT" beginning on May 8, 2025.
Palatin intends to appeal the delisting decision, although there can be no assurance that any such appeal will be successful. The Company has until May 14, 2025 to appeal the NYSE American's decision.
"We are disappointed with the delisting determination," said Carl Spana, Ph.D., President and CEO of Palatin Technologies. "We continue to believe the Company has valuable assets and the actions of NYSE American will in no way deter our commitment to advance our business plan and increase stockholder value."
Forward-looking Statements
Statements in this press release that are not historical facts, including statements about future expectations of Palatin Technologies, Inc., such as statements about the transition of the Company's common stock to the OTC Pink Market and the Company's appeal of the NYSE American's delisting determination, are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and as that term is defined in the Private Securities Litigation Reform Act of 1995. The Company intends that such forward-looking statements be subject to the safe harbors created thereby. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause the Company's actual results to be materially different from its historical results or from any results expressed or implied by such forward-looking statements.
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SOURCE Palatin Technologies, Inc.
FAQ
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