SmartKem (NASDAQ: SMTK) faces Nasdaq bid price and equity listing deficiencies

Rhea-AI Filing Summary

SmartKem, Inc. has received a Nasdaq notice that its common stock no longer meets the exchange’s minimum bid price requirement of $1.00 per share, after trading below that level for 30 consecutive business days between January 21 and March 4, 2026. The company has 180 days, until September 1, 2026, to achieve a closing bid of at least $1.00 for 10 straight business days to regain compliance, with a possible second 180‑day period if it meets other listing standards, including $5 million in stockholders’ equity. SmartKem, which currently has less than $5 million in equity and is already before a Nasdaq Hearings Panel over a separate equity‑rule deficiency, is evaluating options such as a reverse stock split while acknowledging there is no assurance it will maintain its Nasdaq Capital Market listing.

Positive

• None.

Negative

• Heightened Nasdaq delisting risk: SmartKem is out of compliance with both the $1.00 minimum bid price rule and the $5 million stockholders’ equity rule, with only defined grace periods and no assurance it can regain or maintain its Nasdaq Capital Market listing.

Insights

Equity markets and listing standards analyst

Dual Nasdaq deficiencies create real delisting risk for SmartKem.

SmartKem, Inc. now faces two Nasdaq compliance issues: its share price has stayed below the $1.00 minimum bid, and stockholders’ equity is below the $5 million threshold. Either issue can ultimately lead to delisting from the Nasdaq Capital Market.

The company has until September 1, 2026 to restore its bid price, with a potential additional 180‑day period only if it first meets the equity standard and other criteria. A pending hearing before a Nasdaq Hearings Panel on the equity rule adds uncertainty, and future panel decisions will shape the outcome.

Management states it will monitor the bid price and may pursue a reverse stock split to boost the per‑share price. Any recovery path depends on market performance, equity levels, and the Hearings Panel’s rulings under the Nasdaq listing rules.

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 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): March 5, 2026

SmartKem, Inc.

(Exact name of registrant as specified in its charter)

Delaware	001-42115	85-1083654
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

Manchester Technology Center, Hexagon Tower

Delaunays Road, Blackley

Manchester, M9 8GQ U.K.

(Address of principal executive offices, including zip code)

011-44-161-721-1514

(Registrant’s telephone number, including area code)

N/A

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ 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 Act:

Title of each class		Trading Symbol(s)		Name of exchange on which registered
Common Stock, par value $0.0001 per share		SMTK		The Nasdaq Stock Market LLC

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 x

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.

On March 5, 2026, SmartKem, Inc. (the “Company”) received notice (the “Notification Letter”) from the staff (the “Staff”) of The Nasdaq Stock Market LLC (“Nasdaq”) that it is not in compliance with the minimum bid price requirement set forth in Nasdaq Listing Rule 5550(a)(2) (the “Minimum Bid Price Rule”) for continued listing on The Nasdaq Capital Market. Nasdaq Listing Rule 5550(a)(2) requires listed securities to maintain a minimum bid price of $1.00 per share, and Nasdaq Listing Rule 5810(c)(3)(A) provides that a failure to meet the minimum bid price requirement exists if the deficiency continues for a period of 30 consecutive business days. Based on the closing bid price of the Company’s common stock between January 21, 2026, and March 4, 2026, the Company no longer meets the minimum bid price requirement. The Notification Letter has no immediate effect on the listing or trading of the Company’s common stock on The Nasdaq Capital Market and, at this time, the common stock will continue to trade on The Nasdaq Capital Market under the symbol "SMTK," subject to the pending hearing discussed more fully below.

The Notification Letter provides that the Company has 180 calendar days, or until September 1, 2026, to regain compliance with Nasdaq Listing Rule 5550(a)(2). To regain compliance, the bid price of the Company's common stock must have a closing bid price of at least $1.00 per share for a minimum of 10 consecutive business days. If the Company does not regain compliance by September 1, 2026, an additional 180 days may be granted to regain compliance, so long as the Company meets The Nasdaq Capital Market initial listing requirement of $5 million in stockholders’ equity and all other continued listing requirements (except for the bid price requirement) and notifies Nasdaq in writing of its intention to cure the deficiency during the second compliance period. As noted below, the Company currently has less than $5 million in stockholders’ equity; however, the determination on eligibility for a second bid price grace period will not be made until the first bid price grace period expires. If the Company does not qualify for the second compliance period or fails to regain compliance during the second 180-day period, then Nasdaq will notify the Company of its determination to delist the Company's common stock, at which point the Company will have an opportunity to request a hearing before an independent Hearings Panel.

The Company intends to monitor the closing bid price of its common stock and may, if appropriate, consider implementing available options, including, but not limited to, implementing a reverse stock split of its outstanding securities, to regain compliance with the minimum bid price requirement under the Nasdaq Listing Rules.

In addition, as previously reported in a Current Report on Form 8-K. on February 12, 2026, the Company received notice that based upon the Company’s continued non-compliance with the Nasdaq Listing Rule 5550(b) (the Equity Rule”), the Staff has determined to delist the Company’s securities from Nasdaq unless the Company timely requested a hearing before the Hearings Panel. The Company timely requested a hearing, which stayed the delisting and suspension of the Company’s securities pending the decision of the Hearings Panel. There can be no assurance that the Company will be able to evidence compliance with the Equity Rule or other applicable requirements for continued listing on The Nasdaq Capital Market prior to the hearing or that the Panel will grant the Company a further extension period in accordance with the Nasdaq Listing Rules.

There can be no assurance that the Hearings Panel will grant the Company any extension period within which to regain compliance with the Equity Rule, or if any such extension period is granted, that the Company will regain compliance with the Equity Rule within such extension period, or that the Company will be successful in otherwise maintaining the listing of its common stock on The Nasdaq Capital Market.

This report contains forward-looking statements, including, but not limited to, the timing of the decision of the Hearings Panel. Such statements are subject to risks and uncertainties, and actual results may differ materially from those expressed or implied by such forward-looking statements. In particular, the Hearings Panel may issue a decision, more quickly than expected based on the typical time periods in published Nasdaq guidance, which shorter timeline(s) may be unfavorable for the Company and the continued listing of the Company’s common stock on The Nasdaq Capital Market. Investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this report. The Company undertakes no obligation to update any forward-looking statement in this report, except as required by law.

Signature

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

	SMARTKEM, INC.
Dated: March 11, 2026	By:	/s/ Barbra C. Keck
		Barbra C. Keck
		Chief Financial Officer

FAQ

What Nasdaq listing rule did SmartKem (SMTK) violate in March 2026?

SmartKem fell out of compliance with Nasdaq Listing Rule 5550(a)(2), which requires a minimum bid price of $1.00 per share. Its stock traded below $1.00 for 30 consecutive business days between January 21 and March 4, 2026.

How long does SmartKem (SMTK) have to regain the $1.00 minimum bid price?

SmartKem has 180 calendar days, until September 1, 2026, to regain compliance. It must achieve a closing bid price of at least $1.00 per share for a minimum of 10 consecutive business days within this period.

Can SmartKem (SMTK) receive more time from Nasdaq to fix its bid price deficiency?

An additional 180‑day compliance period is possible if, by September 1, 2026, SmartKem meets the initial listing requirement of $5 million in stockholders’ equity and all other continued listing rules, and formally notifies Nasdaq of its plan to cure the bid price deficiency.

Why is SmartKem (SMTK) also facing Nasdaq action under the equity rule?

Nasdaq staff previously notified SmartKem that it was not complying with Listing Rule 5550(b), the equity rule, because stockholders’ equity was below $5 million. Staff determined to delist the securities unless a timely hearing request was made, which the company submitted.

What is the status of SmartKem’s (SMTK) Nasdaq delisting hearing?

SmartKem requested a hearing before an independent Nasdaq Hearings Panel, which temporarily stayed delisting and suspension. The company cautions there is no assurance the panel will grant any extension or that it will regain compliance within any extension period granted.

What steps might SmartKem (SMTK) take to regain Nasdaq bid price compliance?

SmartKem says it will monitor the closing bid price of its common stock and may consider available options, including a reverse stock split of its outstanding securities, to meet Nasdaq’s $1.00 minimum bid price requirement for continued listing.

Filing Exhibits & Attachments

3 documents

Other Documents

• EX-101 XBRL TAXONOMY EXTENSION SCHEMA 2.9 KB
• EX-101 XBRL TAXONOMY EXTENSION LABEL LINKBASE 33.4 KB
• EX-101 XBRL TAXONOMY EXTENSION PRESENTATION LINKBASE 21.8 KB