Agile Therapeutics Regains Compliance With Nasdaq Minimum Bid Price Requirement

Rhea-AI Summary

Agile Therapeutics, Inc. (Nasdaq: AGRX) announced it has regained compliance with the Nasdaq minimum bid price requirement after a notification from the Nasdaq Listing Qualifications Department. The company's stock had been below the $1.00 threshold for over 30 days but has maintained a closing bid price of $1.00 or greater for the past 10 consecutive business days, from April 11 to April 24, 2023. However, the company still faces challenges as it received a deficiency letter regarding its stockholders' equity, which must meet a minimum of $2,500,000 for continued listing. Agile has until May 11, 2023, to submit a Compliance Plan to address this equity issue. Failure to comply may lead to further actions, including potential delisting.

Positive

• Regained compliance with Nasdaq's minimum bid price requirement.
• Closing bid price has been at $1.00 or greater for 10 consecutive business days.

Negative

• Received a deficiency letter regarding stockholders' equity requirements.
• Must submit a Compliance Plan by May 11, 2023, to avoid potential delisting.

PRINCETON, N.J., April 26, 2023 (GLOBE NEWSWIRE) -- Agile Therapeutics, Inc. (Nasdaq: AGRX), a women's healthcare company, today announced that it has received a notification letter from the Listing Qualifications Department (the “Staff”) of the Nasdaq Stock Market (“Nasdaq”), informing the Company that it has regained compliance with the minimum bid price requirement set forth in Nasdaq Listing Rule 5550(a)(2).

As previously announced, the Company was notified by Nasdaq on August 15, 2022 that it was not in compliance with the minimum bid price requirement set forth in Nasdaq Listing Rule 5550(a)(2), as the closing bid price of the Company’s common stock had been below $1.00 for more than 30 consecutive business days.

On April 25, 2023, Nasdaq provided confirmation to the Company that for the last 10 consecutive business days, from April 11, 2023 to April 24, 2023, the closing bid price of the Company’s common stock has been at $1.00 or greater. Accordingly, the Company has regained compliance with Listing Rule 5550(a)(2) and the matter is now closed.

On March 27, 2023, the Company received a deficiency letter from the Staff of Nasdaq notifying the Company that it is not in compliance with the minimum stockholders’ equity requirement for continued listing on the Nasdaq Capital Market. Nasdaq Listing Rule 5550(b)(1) requires companies listed on the Nasdaq Capital Market to maintain stockholders’ equity of at least $2,5000,000 (the “Stockholders’ Equity Requirement”). In accordance with Nasdaq rules, the Company has been provided 45 calendar days, or until May 11, 2023, to submit a plan to regain compliance (the “Compliance Plan”). If the Compliance Plan is acceptable to the Staff, they may grant an extension of 180 calendar days from the date of the Staff notification to regain compliance with the Stockholders’ Equity Requirement.

If the Staff does not accept the Compliance Plan, the Staff will provide written notification to the Company that the Compliance Plan has been rejected. At that time, the Company may appeal the Staff’s determination to a Nasdaq Hearings Panel.

The Company intends to submit the Compliance Plan on or before May 11, 2023, monitor its stockholders’ equity and, if appropriate, consider further available options to regain compliance with the Equity Requirement. There can be no assurance that the Company will regain compliance or otherwise maintain compliance with any of the other listing requirements.

About Agile Therapeutics, Inc.
Agile Therapeutics is a women's healthcare company dedicated to fulfilling the unmet health needs of today’s women. Our product and product candidates are designed to provide women with contraceptive options that offer freedom from taking a daily pill, without committing to a longer-acting method. Our initial product, Twirla®, (levonorgestrel and ethinyl estradiol), a transdermal system, is a non-daily prescription contraceptive. Twirla is based on our proprietary transdermal patch technology, called Skinfusion®, which is designed to allow drug delivery through the skin. For more information, please visit the company website at www.agiletherapeutics.com. The Company may occasionally disseminate material, nonpublic information on the Company’s website, Twitter account (@agilether), and LinkedIn account.

Forward-Looking Statements
Certain information contained in this press release includes “forward-looking statements”, within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. We may, in some cases use terms such as “predicts,” “believes,” “potential,” “continue,” “anticipates,” “estimates,” “expects,” “plans,” “intends,” “may,” “could,” “might,” “likely,” “will,” “should” or other words that convey uncertainty of the future events or outcomes to identify these forward-looking statements. Our forward-looking statements are based on current beliefs and expectations of our management team that involve risks, potential changes in circumstances, assumptions, and uncertainties, including our expectations regarding our ability to regain compliance with the Nasdaq continued listing requirements, and our financial condition, growth and strategies. Any or all of the forward-looking statements may turn out to be wrong or be affected by inaccurate assumptions we might make or by known or unknown risks and uncertainties. These forward-looking statements are subject to risks and uncertainties including risks related to our ability to regain compliance with Nasdaq’s listing requirements, the potential de-listing of our shares on Nasdaq, our strategy, business plans and focus, and the other risks set forth in our filings with the U.S. Securities and Exchange Commission, including our Annual Report on Form 10-K and our Quarterly Reports on Form 10-Q. For all these reasons, actual results and developments could be materially different from those expressed in or implied by our forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements, which are made only as of the date of this press release. We undertake no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstance.

Contact:
Matt Riley
Head of Investor Relations & Corporate Communications
mriley@agiletherapeutics.com

FAQ

What did Agile Therapeutics announce in its April 2023 press release?

Agile Therapeutics announced it regained compliance with Nasdaq's minimum bid price requirement.

What was the closing bid price trend for AGRX stock leading to compliance?

The closing bid price was at $1.00 or greater for 10 consecutive business days from April 11 to April 24, 2023.

What deadline does Agile Therapeutics face regarding stockholders' equity?

Agile must submit a Compliance Plan by May 11, 2023, to address stockholders' equity deficiencies.

What are the implications of not complying with Nasdaq's equity requirement?

Failure to comply may lead to further actions, including potential delisting from the Nasdaq.

How did Agile Therapeutics previously fall out of compliance with Nasdaq?

The company was notified on August 15, 2022, that its stock price was below $1.00 for over 30 consecutive business days.