Melanoma diagnostics company DermTech announced that it has received a delisting warning from Nasdaq.
In a form filed with the U.S. Securities and Exchange Commission (SEC), DermTech said it received notice from Nasdaq that its common stock bid price had closed below the required minimum required for inclusion on the market of $1 per share for the last 30 consecutive business days, putting it at risk for delisting.
DermTech has a 180-calendar day compliance period (until October 14, 2024) to regain compliance with Nasdaq's minimum bid price requirement. The closing bid price of the stock must meet or exceed $1 per share for a minimum of 10 consecutive business days during the compliance period, or the company may be delisted.
Nasdaq may grant a 180-day extension to the compliance period for the company to regain compliance and maintain its listing, should DermTech "meet the continued listed requirement for market value of publicly held shares and all other initial listing standards for the Nasdaq Capital Market, with the exception of the Minimum Bid Price Requirement, and must notify Nasdaq in writing of its intention to cure the deficiency during the second compliance period," the report states.
In February, DermTech announced that it would take further restructuring measures to cut operating expenses and focus its resources, including laying off 30 employees. The company had previously eliminated 40 jobs and paused pipeline programs in 2023 as part of its restructuring plan.
