Bullish indicating open at $55-$60, IPO prices at $37
PAVmed Inc . (NASDAQ:PAVM), a medical device company with a current market capitalization of $8.74 million, announced on Monday that it has regained compliance with Nasdaq’s stockholders’ equity requirement. The company, whose stock has seen a 26% gain year-to-date according to InvestingPro data, had previously been notified of a potential delisting due to its market value falling below the Nasdaq Capital Market’s minimum threshold.
In response to the initial non-compliance notice received on March 7, 2024, PAVmed took several measures to address the issue. These included exchanging secured convertible notes for Series C convertible preferred stock on January 17, 2025, raising $2.653 million through the issuance of Series C Preferred Stock on January 24, 2025, and reducing operating expenses following the deconsolidation of Lucid (NASDAQ:LCID) Diagnostics Inc. InvestingPro analysis indicates the company carries a significant debt burden of $34.93 million and is quickly burning through cash, with negative free cash flow of $45.76 million in the last twelve months.
As a result of these actions, PAVmed met the Nasdaq continued listing standard under Listing Rule 5550(b)(1), which requires a minimum of $2.5 million in stockholders’ equity. The company had been granted an extension until January 31, 2025, to regain compliance, which it achieved ahead of the deadline.
Following the compliance achievement, PAVmed will be under a Mandatory Panel Monitor for one year until February 14, 2026. During this period, if PAVmed fails to maintain compliance with the stockholders’ equity requirement, it will not be allowed to submit a compliance plan. Instead, Nasdaq will issue a delisting letter, and PAVmed will have the opportunity to request a hearing. For investors tracking PAVmed’s compliance journey, InvestingPro offers comprehensive financial health monitoring with 12 additional ProTips and detailed metrics to assess the company’s ongoing stability and performance potential.
This news is based on a press release statement and indicates PAVmed’s efforts to maintain its listing on the Nasdaq Stock Market and to meet the exchange’s financial requirements.
In other recent news, PAVMed Inc., a medical device company, is facing potential delisting from the Nasdaq Stock Market due to its share price falling below the required minimum. The company has until July 22, 2025, to regain compliance, maintaining a closing bid price of at least $1 for ten consecutive business days. Despite this, the trading of PAVMed’s common stock and Series Z warrants remains unaffected.
Simultaneously, PAVMed finalized the sale of 2,653 shares of its Series C Convertible Preferred Stock at a price of approximately $2.653 million, which was used to offset certain unsecured debt obligations. The conversion terms of the Series C Preferred Stock could lead to the issuance of approximately 2,484,082 shares at the voluntary conversion price of $1.068 per share.
In addition to these developments, PAVmed shareholders approved two key proposals in a recent special meeting. The first allows for the issuance of common stock upon the conversion of Series C Convertible Preferred Stock. The second amends the company’s certificate of incorporation to increase the authorized shares of common stock from 50 million to 250 million.
These recent developments in PAVMed’s financial and operational strategies suggest the company’s active efforts to strengthen its position and navigate the challenges it faces.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.