BioXcel Therapeutics faces potential Nasdaq delisting

Published 21/03/2025, 22:40
BioXcel Therapeutics faces potential Nasdaq delisting

BioXcel Therapeutics, Inc., a pharmaceutical company with a market capitalization of just $7.21 million and a concerning InvestingPro Financial Health Score of 1.57 (Weak), is at risk of being delisted from The Nasdaq Capital Market due to non-compliance with the market value of listed securities requirement. On Monday, the company received a notification from Nasdaq’s Listing Qualifications Department, indicating that its market value had fallen below the minimum $35 million threshold for 30 consecutive business days. This development comes amid a dramatic 94.79% decline in stock value over the past year, with the company carrying a substantial debt burden of $104.97 million.

The initial warning was issued on September 20, 2024, after which BioXcel was given 180 days, until March 19, 2025, to meet the requirement. Despite the grace period, the company has not achieved compliance.

In response to the notice, BioXcel plans to appeal the delisting determination by requesting a hearing before the Nasdaq Hearings Panel. This appeal will delay the delisting process, allowing the company’s common stock to continue trading on Nasdaq until the hearing process concludes.

BioXcel’s Chief Financial Officer, Richard Steinhart, signed the SEC filing on March 21, 2025, confirming the company’s intention to contest the delisting. While the stock remains listed for the time being, there is no guarantee that BioXcel will regain compliance with Nasdaq’s listing requirements or maintain its listing status following the appeal.

This development is based on the latest Form 8-K filing with the U.S. Securities and Exchange Commission by BioXcel Therapeutics.

In other recent news, BioXcel Therapeutics has reported significant progress in its SERENITY At-Home pivotal Phase 3 trial, enrolling 100 patients, which is half of the expected total. This trial evaluates the safety of BXCL501, an investigational drug for treating agitation in patients with bipolar disorders or schizophrenia at home. The company aims to release topline data in the second half of 2025, which may support a supplemental new drug application for IGALMI® to expand its use to at-home settings. To support this trial, BioXcel Therapeutics has boosted its cash reserves to approximately $35 million following a successful equity financing round. Meanwhile, BofA Securities has maintained its Underperform rating on BioXcel Therapeutics, citing concerns about the company’s capital expenditure rate despite positive developments like the FDA’s completed site inspection for the TRANQUILITY II Phase 3 trial. Additionally, BioXcel Therapeutics has regained compliance with the Nasdaq minimum bid price requirement, ensuring its continued listing. The company also reported the resignation of Vincent J. O’Neill, M.D., its Executive Vice President, Chief of Product Development and Medical (TASE:BLWV) Officer. These developments reflect BioXcel Therapeutics’ ongoing efforts to advance its drug pipeline and maintain regulatory compliance.

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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