applied dna sciences faces nasdaq delisting due to bid price rule

Published 06/06/2025, 19:36
applied dna sciences faces nasdaq delisting due to bid price rule

Applied DNA Sciences Inc . (NASDAQ:APDN), currently trading at $5.50 with a market capitalization of $2.42 million, has received a notification from the Nasdaq Stock Market’s Listing Qualifications Department regarding non-compliance with the $1.00 minimum bid price requirement, as per Nasdaq Listing Rule 5550(a)(2). According to InvestingPro data, the company maintains a relatively strong liquidity position with a current ratio of 4.45x, though it faces significant operational challenges. The company failed to meet this requirement as its stock price remained below the $1.00 threshold for 32 consecutive business days, from April 14 to May 29, 2025.

In response, Applied DNA Sciences executed a 1-for-15 reverse stock split on June 2, 2025, aiming to regain compliance with the bid price rule. The company must now achieve a minimum closing bid price of $1.00 per share for at least ten consecutive business days.

However, the notification also stated that the company is not eligible for an automatic compliance period because it has undertaken a reverse stock split within the past year, or multiple splits in the past two years with a cumulative ratio of 250 shares or more to one. Consequently, Applied DNA Sciences’ securities are subject to delisting unless a timely request for a hearing before the Nasdaq Hearings Panel is made.

Today, Applied DNA Sciences confirmed that it has requested a hearing, which temporarily halts any suspension or delisting actions by Nasdaq until the hearing process concludes. The company has not provided assurances regarding the outcome of the hearing or its ability to maintain its Nasdaq listing.

This information is based on a press release statement filed with the SEC.

In other recent news, Applied DNA Sciences has achieved a significant milestone by securing a U.S.-based supply chain for key materials through its subsidiary, LineaRx. This development aligns with the BIOSECURE Act of 2024 and reflects a broader industry trend toward reshoring biopharmaceutical manufacturing in the United States. Additionally, Applied DNA has successfully regained compliance with Nasdaq’s minimum bid price requirement, maintaining a minimum closing bid price of $1.00 or more for 16 consecutive business days. This compliance is crucial for the company’s continued listing on the stock exchange, ensuring visibility and accessibility to investors. In another strategic move, Applied DNA’s clinical laboratory subsidiary, Applied DNA Clinical Labs, has refined its pharmacogenomics strategy by focusing on subpanels for indication-specific use cases. This initiative aims to enhance the utility of their TR8™ PGx pharmacogenomics testing service, particularly for patients with genetic variants affecting drug metabolism. Furthermore, the company has scheduled its 2025 Annual Meeting of Stockholders for May 22, 2025, to be held virtually. These recent developments highlight Applied DNA’s ongoing efforts to strengthen its market position and operational capabilities.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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