Ernexa Therapeutics gets Nasdaq minimum bid price notice, plans to request hearing

Ernexa Therapeutics Inc. (Nasdaq: ERNA) received a written notice from Nasdaq on March 18, 2026 saying its common stock failed to maintain a $1.00 minimum bid price for 30 consecutive business days, in violation of Nasdaq Listing Rule 5550(a)(2). The company reported the notice in a Form 8-K filed March 20, 2026 under Item 3.01.

Why there is no 180-day period

Under Nasdaq Listing Rule 5810(c)(3)(A), a company that falls below the bid price usually gets 180 calendar days to comply. Nasdaq staff concluded that Ernexa is not eligible for that period under Rule 5810(c)(3)(A)(iv), because the company effected a reverse stock split within the prior one-year period. The company therefore intends to request a hearing before the Nasdaq Hearings Panel.

A hearing request automatically stays any suspension or delisting action until the hearing is held and any extension granted by the Panel expires. The Panel may grant an extension of up to 180 days from the date of the notice. To regain compliance, Ernexa must maintain a closing bid price of at least $1.00 for a minimum of 10 consecutive business days. The company says it will present its plans to regain compliance to the Panel, but it states that there are no assurances the Panel will rule in its favor or that the shares will stay listed.

Losses and going-concern doubt

The 10-K for 2025, filed March 13, 2026, reports a net loss of $14.1 million for 2025, down from $44.5 million for 2024. Cash used in operations was $7.0 million in 2025, against $15.8 million in 2024. Revenue for 2024 was $582,000.

The annual report says there is substantial doubt about the company's ability to continue as a going concern, because it does not have enough cash to meet its working capital needs and other liquidity requirements over at least the next 12 months. It puts the accumulated deficit at about $245.6 million at December 31, 2025.

The report puts stockholders' equity at approximately $2.4 million at December 31, 2025, below the $2.5 million Nasdaq equity requirement. It says the February 10, 2026 offering, with net proceeds of approximately $9.5 million, lifted equity above $2.5 million as of the report date, and that the closing bid price had been below $1.00 since February 3, 2026. During 2025 the company raised $2.3 million of gross proceeds from two promissory notes and $4.9 million from a private placement.

The February 2026 offering

On February 6, 2026, Ernexa engaged Brookline Capital Markets, a division of Arcadia Securities, LLC, as placement agent for a public offering of 19.0 million shares and accompanying warrants for 19.0 million shares. The offering closed on February 10, 2026, for aggregate gross proceeds of about $10.5 million before placement agent fees and other offering expenses.

The 10-K says the company pays the placement agent 6.5% of the aggregate purchase price, or 1.5% for certain existing investors. It also pays the placement agent a cash fee on any exercise of milestone warrants sold in the offering, payable quarterly, and it reimbursed the agent for $125,000 in offering-related legal expenses. The company also signed securities purchase agreements with certain investors. The shares and accompanying milestone warrants were sold at a combined $0.50, and pre-funded warrants with accompanying milestone warrants at a combined $0.49.

The company says it will use the net proceeds for development programs, working capital and general corporate purposes.

What comes next

The next step is the hearing request, which the company says it intends to file on time. The Panel decides whether to grant an extension, and the company's plan will have to show how it will meet the bid price requirement. The 8-K gives no hearing date, and it does not give a cash balance for December 31, 2025.

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