Aspira Women's Health regains Nasdaq compliance

AUSTIN, Texas-based Aspira Women's Health Inc. (AWH), currently trading at $0.24 and down over 60% year-to-date according to InvestingPro data, has resolved a compliance issue with Nasdaq's listing rules, the diagnostic company announced Monday. The issue stemmed from a private placement of securities in June 2024 that was priced below market value without shareholder approval, violating Nasdaq's Listing Rule 5635(c).

Aspira, which specializes in in vitro and in vivo diagnostic substances and currently maintains a market capitalization of just $3.97 million, entered into a securities purchase agreement on June 30, 2024, with certain accredited shareholders and insiders. The agreement involved the sale of over 1.2 million shares and an equal number of warrants to purchase additional shares at $1.53 per share, while the closing bid price prior to the deal was $1.47 plus $0.125 attributable to the warrant value, totaling $1.595.

On February 11, 2025, Nasdaq notified Aspira that this transaction constituted a basis for delisting due to the issuance of shares and warrants below market value without obtaining shareholder approval. In response, Aspira amended the warrants to bar exercise until shareholder approval is secured. This amendment brought Aspira back into compliance with the Nasdaq rule, as confirmed by the Nasdaq staff.

The company, previously known as Vermillion, Inc. and Ciphergen Biosystems Inc., has its common stock listed under the ticker symbol AWH on the Nasdaq Capital Market. With a WEAK Financial Health Score according to InvestingPro analysis and short-term obligations exceeding liquid assets, Aspira cautioned there is no guarantee it will maintain its Nasdaq listing in the future. Investors seeking deeper insights can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers, covering this and 1,400+ other US equities.

This announcement was made in a Form 8-K filing with the Securities and Exchange Commission dated February 14, 2025, based on events as of February 11, 2025. The filing was signed by CEO Mike Buhle.

In other recent news, Aspira Women's Health has experienced significant developments. The company withdrew its plan for a public offering, as per a filing with the Securities and Exchange Commission. No specific reasons were given for this decision.

In terms of leadership changes, the company announced the resignation of its President, Dr. Sandra Milligan, and the appointment of new executives. Jamie Sullivan and Todd Pappas will assume Dr. Milligan's responsibilities. Furthermore, Ellen Beausang, a seasoned professional with over 25 years of experience in the pharmaceutical and diagnostic industry, joined the Board of Directors.

Aspira also announced changes in the roles of its Chief Executive Officer and Vice President of Finance. Michael Buhle was appointed as the CEO, while James Crawford was named the new Vice President of Finance.

In another development, the company's Interim Chief Financial Officer, John Kallassy, resigned, and his duties were assumed by the CEO, Dr. Sandra Milligan. Lastly, Aspira faces the risk of being delisted from the Nasdaq Capital Market due to failure to meet the minimum Market Value of Listed Securities requirement. The company intends to appeal this decision. These are recent developments in the company's journey.

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