Universe Pharmaceuticals gets Nasdaq delisting notice

Universe Pharmaceuticals (UPC) announced that the company received a letter from the Nasdaq Stock Market on January 29 notifying the company that the Nasdaq staff has determined to delist the company’s ordinary shares from The Nasdaq Capital Market because the bid price of the company’s listed securities has closed at less than $1 per share over the previous 30 consecutive business days, and therefore no longer complies with the Nasdaq Listing Rule 5550. Normally, a company would be afforded a 180-calendar day period to demonstrate compliance with the Rule. However, pursuant to the Nasdaq Listing Rule 5810 the Company is not eligible for any compliance period specified in Nasdaq Listing Rule 581 due to the fact that the Company effected a reverse stock split on November 18,c or within the prior one-year period. The Company was provided until February 5, 2025 to request an appeal of the Delisting Determination to the hearing panel. The Company intends to request such hearing to appeal the Delisting Determination before that date, which will stay the suspension of its securities from the date of the request, during which time such securities will continue to be listed on The Nasdaq Capital Market.cIf the Company fails to request an appeal of the Delisting Determination by February 5 trading of the Company’s ordinary shares will be suspended at the opening of business on February 7 and a Form 25-NSE will be filed with the U.S. Securities and Exchange Commission, which will remove the Company’s securities from listing and registration on The Nasdaq Stock Market. The Company is considering all potential options available to it to regain compliance with the aforementioned rules, including seeking shareholders’ approval for a reverse stock split.