aibioQuince Therapeutics (now IRulya Therapeutics) gets Nasdaq stockholders' equity deficiency notice
Nasdaq told Quince Therapeutics its stockholders' equity was ($35,324,000), below the $10,000,000 minimum. The company has until October 15, 2026 to submit a compliance plan and has filed an initial listing application that would come with a name change.
Key facts
- Companies
- IRulya Therapeutics Inc. (NASDAQ: IRLA), IRulya Therapeutics Inc. (NASDAQ: QNCX)
- News type
- Listings
- Primary source
- IRulya Therapeutics Inc. Form 8-K filed September 4, 2026 (SEC EDGAR)
Quince Therapeutics, Inc. (Nasdaq: QNCX) received a Nasdaq notice on August 31, 2026 because its stockholders' equity is negative. The company disclosed the notice in a Form 8-K filed September 4, 2026 under Item 3.01, the item that covers notices of delisting or failures to satisfy a continued listing rule. Dirk Thye, its chief executive officer, signed the filing.
The deficiency follows a clinical setback. In its annual report on Form 10-K, filed April 10, 2026, Quince says the primary endpoint of its NEAT Phase 3 trial in ataxia-telangiectasia, a rare pediatric neurodegenerative disease, did not reach statistical significance compared to placebo. The company now says its lead candidate, eDSP, does not appear to be an effective treatment for that disease. It has discontinued all development activities, has no other product candidates, and does not expect to generate revenue.
What Nasdaq says
The Listing Qualifications Department of The Nasdaq Stock Market LLC based its finding on Quince's quarterly report for the period ended June 30, 2026. That report showed stockholders' equity of ($35,324,000). Nasdaq Listing Rule 5450(b)(1)(A) requires at least $10,000,000 of stockholders' equity for continued listing on the Nasdaq Global Select Market.
The notice does not change trading for now. The common stock, par value $0.001 per share, continues to trade as QNCX.
The company has until October 15, 2026, 45 calendar days from the notice, to submit a specific plan to regain compliance and a timetable for completing it. If Nasdaq accepts the plan, it can allow up to 180 calendar days from the notice date, or until February 27, 2027, to show compliance. If Nasdaq does not accept the plan, Quince may appeal, and its shares would stay listed until that appeal ends. To comply, Quince must reach at least $10,000,000 of stockholders' equity. The company says it is still evaluating alternative courses of action. The 8-K does not say which options it is weighing.
The rename and the listing application
The proxy statement the company filed on August 25, 2026 discloses an initial listing application that Quince filed with Nasdaq under Rule 5110(a), the rule for companies seeking a first listing. The 8-K says that if the required stockholder matters and that application are both approved, the company expects to change its name to IRulya Therapeutics Inc. and trade on the Nasdaq Capital Market under the symbol IRLA. Neither approval is assured. The 8-K also says there is no assurance the company can regain compliance with the equity requirement. Until those steps happen, the company is still Quince Therapeutics and trades as QNCX.
Cash and the going concern warning
The 10-K reports research and development expense of $35.4 million for 2025, up from $18.6 million in 2024. The net loss grew to $84.0 million from $56.8 million. Cash used in operations was $41.4 million, compared with $31.9 million a year earlier.
Cash and cash equivalents were $5.8 million at December 31, 2025, according to the quarterly report filed August 14, 2026. That is down from $6.2 million a year earlier. Short-term investments were $11.9 million at the end of 2025, down from $34.6 million at the end of 2024.
The annual report says there is substantial doubt about the company's ability to continue as a going concern. After year end, and through the date the financial statements were issued, Quince raised net proceeds of about $20.4 million by issuing 105,285,000 shares under its at-the-market program. About $47.5 million remained available under that program. The program runs under a sales agreement dated December 18, 2024 with Cantor Fitzgerald & Co. and H.C. Wainwright & Co., LLC. During 2025 the same program raised $6.3 million. The company used $41.4 million in operations in 2025.
If the company cannot continue as a going concern, the annual report says, it may have to stop operations and liquidate its assets, and shareholders may lose all or part of their investment. The company does not expect meaningful proceeds from selling assets tied to its former product candidates.