[8-K] ProPhase Labs, Inc. Reports Material Event

Rhea-AI Filing Summary

ProPhase Labs (Nasdaq: PRPH) filed an 8-K (Item 3.01 & 7.01) disclosing it remains non-compliant with Nasdaq Listing Rule 5550(a)(2) after its shares closed below $1.00 for 30 consecutive trading days. Nasdaq granted a second 180-day extension, moving the cure deadline to December 22 2025. To regain compliance, PRPH must record a closing bid price of at least $1.00 for 10 consecutive business days and receive staff confirmation. Failure to do so will trigger a delisting notice and trading suspension, with only a non-staying appeal available. The company states it is otherwise compliant with all other listing standards and is “actively monitoring” its stock price while evaluating options. A related press release was furnished as Exhibit 99.1.

Insights

Event Analyst

TL;DR: Nasdaq reprieve offers breathing room but no cure plan yet

The 180-day extension removes the immediate delisting threat, preserving liquidity and index eligibility. Management now has time to consider corporate actions—reverse split, strategic transactions or investor outreach—to lift the bid over $1. However, the filing lacks a defined remediation plan, leaving sentiment tethered to share-price volatility. Investors get short-term relief, but long-term uncertainty persists until a credible path is articulated.

Risk Analyst

TL;DR: Delisting risk merely deferred; downside still dominates

PRPH remains in breach of the $1.00 minimum bid rule. If the price fails to recover by Dec 22 2025, Nasdaq will delist the stock with no automatic stay, pushing trading to the less-liquid OTC market. Such an outcome could impair capital access, elevate borrowing costs, and shrink institutional ownership. The extension buys time, but without tangible catalysts the probability of a reverse split—and potential dilution—rises. Overall disclosure skews negative for risk-adjusted valuations.

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of

The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): June 26, 2025

PROPHASE LABS, INC.

(Exact name of Company as specified in its charter)

Delaware		000-21617		23-2577138
(State or other jurisdiction of incorporation)		(Commission File Number)		(I.R.S. Employer Identification No.)

626 RXR Plaza, 6th Floor Uniondale, New York		11556
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: (215) 345-0919

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the Company under any of the following provisions (see General Instruction A.2. below):

☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities Registered Pursuant to Section 12(b) of the Exchange Act:

Title of Each Class		Trading Symbol		Name of Each Exchange on Which Registered
Common Stock, par value $0.0005		PRPH		Nasdaq Capital Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 3.01. Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing.

As previously reported, on December 26, 2024, ProPhase Labs, Inc. (the “Company”) received a letter (the “Notice”) from the Listing Qualifications Staff (the “Staff”) of the Nasdaq Stock Market LLC (“Nasdaq”) informing the Company that because the closing bid price for the Company’s common stock listed on Nasdaq was below $1.00 for 30 consecutive trading days, the Company is not in compliance with the minimum bid price requirement for continued listing on the Nasdaq Capital Market, as set forth in Nasdaq Listing Rule 5550(a)(2) (the “Minimum Bid Price Requirement”).

In accordance with Nasdaq Listing Rule 5810(c)(3)(A), the Company had a period of 180 calendar days from December 26, 2024, or until June 24, 2025, to regain compliance with the Minimum Bid Price Requirement. The Nasdaq stated that one of the bases for its determination to grant the extension was the Company being in compliance with all other applicable requirements for initial listing on the Capital Market with the exception of the Minimum Bid Price Requirement.

On May 19, 2025, the Company submitted a request to the Nasdaq for a 180-day extension to regain compliance with the Minimum Bid Price Requirement pursuant to Nasdaq Listing Rule 5810(c)(3)(A)(ii). On June 25, 2025, the Company received a letter from the Nasdaq staff advising that the Company had been granted a 180-day extension to December 22, 2025 to regain compliance with the Minimum Bid Price Requirement, in accordance with Nasdaq Listing Rule 5810(c)(3)(A).

The Company intends to continue actively monitoring the closing bid price for the Company’s common stock between now and December 22, 2025, and will consider available options to resolve the deficiency to regain compliance with the Minimum Bid Price Requirement. To regain compliance, the Company’s Class A ordinary shares must have a closing bid price of at least US$1.00 per share for a minimum of 10 consecutive business days and the Company must receive approval of compliance from the Nasdaq Staff in accordance with applicable Listing Rules.

In the event that compliance cannot be demonstrated by December 22, 2025, the staff of the Nasdaq will provide the Company with written notification that the Company’s securities will be subject to delisting. The Company would then be entitled to request in writing that a Nasdaq Hearings Panel review the matter pursuant to Nasdaq Listing Rule 5815. However, under Nasdaq Listing Rule 5815(a)(1)(B)(ii)(d), a timely request for a hearing will not stay the suspension of the securities from trading for a Company afforded the second 180-day compliance period described in Rule 5810(c)(3)(A)(ii) that failed to regain compliance with the minimum bid price requirement during that period.

The Company is diligently working to evidence compliance with the Minimum Bid Price Requirement for continued listing on the Nasdaq; however, there can be no assurance that the Company will be able to regain compliance with the Minimum Bid Price Requirement during this 180-day extension period. If the Company fails to regain compliance with the Nasdaq continued listing standards, its common stock will be subject to delisting from the Nasdaq.

Forward-Looking Statements

This Current Report on Form 8-K contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements contained in this Current Report on Form 8-K other than statements of historical fact are forward-looking statements. Such forward-looking statements include, among other things, statements regarding the Company’s ability to regain compliance with Nasdaq listing standards or receive additional time from Nasdaq to regain compliance if necessary. Such statements can be identified by the fact that they do not relate strictly to historical or current facts. Words such as “believes,” “anticipates,” “plans,” “expects,” “intends,” “will,” “goal,” “potential” and the negative of such terms or other similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Such forward-looking statements are based on the Company’s current expectations and involve assumptions that may never materialize or may prove to be incorrect. Actual results could differ materially from those projected in any forward-looking statements due to numerous risks and uncertainties. Information regarding the foregoing and additional risks may be found in the section entitled “Risk Factors” in documents that the Company files from time to time with the Securities and Exchange Commission. These forward-looking statements are made as of the date of this Current Report on Form 8-K, and the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

Item 7.01 Regulation FD Disclosure.

On June 26, 2025, the Company issued a press release relating to the Company’s obtaining an additional 180-calendar day period to regain compliance with the Minimum Bid Price Requirement. A copy of the press release is being furnished as Exhibit 99.1 to this Current Report on Form 8-K.

The information contained in Item 7.01 of this Current Report on Form 8-K, including Exhibit 99.1, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such a filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

No.		Description
99.1		Press Release dated June 26, 2025, ProPhase Labs, Inc. Receives Additional 180 Day Extension from Nasdaq to Regain Compliance with Minimum Bid Price Rule
104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	ProPhase Labs, Inc.
	By:	/s/ Ted Karkus
		Ted Karkus
		Chairman of the Board and Chief Executive Officer

Date: June 26, 2025