aibioPolyPid says $14.5 million private placement restored Nasdaq equity compliance
Tickers PYPD
The company says stockholders' equity is now about $7.5 million, up from $2.2 million at September 30, 2024. Nasdaq staff will keep monitoring, and the company could face delisting if it cannot show compliance in its next periodic report.
Key facts
- Company
- PolyPid Ltd. (NASDAQ: PYPD)
- News type
- Listings
- Primary source
- PolyPid Ltd. 6-K (2025-01-17)
PolyPid Ltd. (Nasdaq: PYPD) said in a Form 6-K dated January 17, 2025 that it believes it has regained compliance with Nasdaq's stockholders' equity requirement. On November 25, 2024, Nasdaq staff had told the company it was not in compliance with Listing Rule 5550(b)(1), which requires companies on the Nasdaq Capital Market to keep at least $2.5 million in stockholders' equity. PolyPid had reported equity of $2.2 million as of September 30, 2024.
The company credits a private placement that closed in December 2024 and brought $14.5 million of gross proceeds from sales of ordinary shares and warrants. After that, stockholders' equity increased to approximately $7.5 million.
Investors in the placement also received warrants to buy shares. Exercising them in full would bring an additional $27.0 million in gross proceeds. The warrants expire at the earlier of nine months from issuance and 10 trading days after the company announces top-line results from its SHIELD II Phase 3 trial, expected in the second quarter of 2025.
Nasdaq staff will continue to monitor compliance. If the company does not evidence compliance with the rule at its next periodic report, it may be subject to delisting.