aibioPalisade Bio gets Nasdaq minimum bid price deficiency notice, has 180 days to regain compliance
Tickers PALI
Palisade Bio received a Nasdaq minimum bid price notice on April 30, 2025, after its stock closed below $1.00 for 30 consecutive trading days. It has 180 calendar days to regain compliance, and its 2024 annual report carries a going-concern warning alongside $9.8 million of cash.
Key facts
- Company
- Palisade Bio, Inc. (NASDAQ: PALI)
- News type
- Listings
- Primary source
- PALISADE BIO, INC. Form 8-K filed May 2, 2025 (SEC EDGAR)
Palisade Bio, Inc. (Nasdaq: PALI) received a Nasdaq minimum bid price deficiency notice on April 30, 2025. Nasdaq said the company's common stock had closed below the $1.00 minimum bid price for 30 consecutive trading days. The company reported the notice in a Form 8-K filed May 2, 2025 under Item 3.01, which covers notices of a failure to meet a continued listing rule. The rule is Nasdaq Listing Rule 5550(a)(2).
What Nasdaq told the company
The notice said the closing bid price of Palisade's common stock was below $1.00 for the 30 consecutive trading days before April 30, 2025. The filing says the notice has no effect on the listing at this time, and the stock continues to trade on The Nasdaq Capital Market under the symbol "PALI".
The compliance period
Under Nasdaq Listing Rule 5810(c)(3)(A), Palisade has 180 calendar days following April 30, 2025, to regain compliance. The filing calls this the Compliance Period. The company regains compliance if its closing bid price is at least $1.00 for a minimum of 10 consecutive business days during that period. It must also meet every other continued listing requirement.
If the company has not regained compliance by the end of the Compliance Period, it may be given an Additional Compliance Period of 180 more calendar days. Nasdaq may grant that time only if, on the last day of the first period, the company meets the market value of publicly held shares requirement and all other initial listing standards apart from the bid price. Nasdaq may refuse the extra time if the company does not intend to cure the deficiency, or if it appears the company cannot cure it.
If Palisade does not regain compliance by the end of the Compliance Period or any Additional Compliance Period, its common stock will be subject to delisting. The 8-K says the company intends to monitor the closing bid price and may, if appropriate, consider options to regain compliance. It does not name any option.
The company's finances
Palisade's annual report on Form 10-K for 2024 describes a clinical-stage biopharmaceutical company developing therapeutics for autoimmune, inflammatory and fibrotic diseases. Its lead product candidate is PALI-2108, which is being developed for inflammatory bowel disease, including ulcerative colitis and fibrostenotic Crohn's disease. A Phase 1 trial of PALI-2108 started in November 2024, and much of its clinical work is outsourced to a third-party contract research organization.
The report says management has concluded there is substantial doubt about the company's ability to continue as a going concern for one year after the statements are issued. As of December 31, 2024, the company had $9.8 million in cash, cash equivalents and restricted cash. Net cash used in operating activities was $12,193 thousand in 2024, compared with $11,133 thousand in 2023. The report says the company's financing in 2024 provided about $9,582 thousand, and it had eight full-time employees at year-end.
The report warns that without new funding, the company may have to delay, scale back or eliminate some of its development activities, or cease operations. It also says that substantial doubt could make investors or other financing sources unwilling to provide funding on commercially reasonable terms.
Who signed
J.D. Finley, Chief Executive Officer, signed the 8-K on May 2, 2025. The annual report is signed by Mr. Finley as Chief Executive Officer, Chief Financial Officer and director.