CNS Pharmaceuticals Granted Exception by Nasdaq to Regain Compliance with Minimum Bid Price Requirement

Rhea-AI Summary

CNS Pharmaceuticals (NASDAQ:CNSP) has received an extension from the Nasdaq Hearings Panel until March 11, 2025, to meet the minimum bid price requirement under Listing Rule 5550(a)(2). The company, which develops treatments for primary and metastatic brain and central nervous system cancers, now has additional time to regain compliance with Nasdaq's listing requirements.

Positive

• Extension granted by Nasdaq provides additional time to maintain listing

Negative

• Company faces potential delisting risk if minimum bid price requirement isn't met by March 2025
• Current stock price remains below Nasdaq minimum bid requirement

Insights

Financial Analyst

The Nasdaq extension for bid price compliance represents a critical lifeline for CNS Pharmaceuticals, but carries significant implications for investors. With a micro-cap valuation of just $4.7M, the company faces substantial challenges. The extension to March 2025 provides breathing room to implement strategic initiatives, potentially including a reverse stock split, to maintain listing requirements. However, this development signals underlying financial stress and market perception issues. The extension doesn't address fundamental business challenges or enhance the company's market position. Historical patterns show that companies receiving such extensions often struggle to achieve sustainable price recovery without significant operational improvements or capital events.

HOUSTON, TX / ACCESSWIRE / November 1, 2024 / CNS Pharmaceuticals, Inc. (NASDAQ:CNSP) ("CNS" or the "Company"), a biopharmaceutical company specializing in the development of novel treatments for primary and metastatic cancers in the brain and central nervous system, today announced that on October 30, 2024, it received notice from The Nasdaq Hearings Panel that the Company has been granted an exception until March 11, 2025, to regain compliance with the minimum bid price requirement in Listing Rule 5550(a)(2).

About CNS Pharmaceuticals, Inc.

CNS Pharmaceuticals is a clinical-stage pharmaceutical company developing a pipeline of anti-cancer drug candidates for the treatment of primary and metastatic cancers of the brain and central nervous system. The Company's lead drug candidate, Berubicin, is a novel anthracycline and the first anthracycline to appear to cross the blood-brain barrier. Berubicin is currently in development for the treatment of a number of serious brain and CNS oncology indications including glioblastoma multiforme (GBM), an aggressive and incurable form of brain cancer.

For more information, please visit www.CNSPharma.com, and connect with the Company on X, Facebook, and LinkedIn.

Forward-Looking Statements

Some of the statements in this press release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, which involve risks and uncertainties. These statements relate to future events, future expectations, plans and prospects. Although CNS believes the expectations reflected in such forward-looking statements are reasonable as of the date made, expectations may prove to have been materially different from the results expressed or implied by such forward-looking statements. CNS has attempted to identify forward-looking statements by terminology including ''believes,'' ''estimates,'' ''anticipates,'' ''expects,'' ''plans,'' ''projects,'' ''intends,'' ''potential,'' ''may,'' ''could,'' ''might,'' ''will,'' ''should,'' ''approximately'' or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. These statements are only predictions and involve known and unknown risks, uncertainties and other factors, including market and other conditions and those discussed under Item 1A. "Risk Factors" in CNS's most recently filed Form 10-K filed with the Securities and Exchange Commission ("SEC") and updated from time to time in its Form 10-Q filings and in its other public filings with the SEC. Any forward-looking statements contained in this press release speak only as of its date. CNS undertakes no obligation to update any forward-looking statements contained in this press release to reflect events or circumstances occurring after its date or to reflect the occurrence of unanticipated events, except as required by law.

CONTACTS:

Investor Relations Contact
JTC Team, LLC
Jenene Thomas
908-824-0775
CNSP@jtcir.com

SOURCE: CNS Pharmaceuticals, Inc.

View the original press release on accesswire.com

FAQ

What deadline did Nasdaq give CNSP to regain compliance with minimum bid price?

Nasdaq granted CNSP until March 11, 2025, to regain compliance with the minimum bid price requirement under Listing Rule 5550(a)(2).

Why did CNSP receive a Nasdaq compliance extension?

CNSP received an extension to meet Nasdaq's minimum bid price requirement, which is necessary to maintain its listing on the Nasdaq exchange.

What happens if CNSP fails to meet Nasdaq's minimum bid requirement by March 2025?

If CNSP fails to meet the minimum bid requirement by March 11, 2025, the company could face delisting from the Nasdaq exchange.