Eterna Therapeutics Regains Compliance with NASDAQ for Continued Listing

Rhea-AI Summary

Eterna Therapeutics (Nasdaq: ERNA) has regained compliance with Nasdaq's continued listing requirements after meeting the market value standard of at least $35 million. The company received formal confirmation on November 12th, 2024, from Nasdaq's Office of General Counsel. Eterna is now positioned as a debt-free, low burn rate, preclinical stage cell therapy company focused on developing ERNA-101 for triple-negative breast cancer and platinum-resistant, TP53-mutant ovarian cancer treatments.

Positive

• Regained Nasdaq listing compliance, maintaining market access
• Debt-free status achieved
• Low burn rate operations reported
• Clear development focus on ERNA-101 for two cancer indications

Negative

• Still in preclinical stage with no revenue-generating products

Insights

Financial Analyst

This compliance achievement is a critical milestone for Eterna Therapeutics, removing a significant regulatory overhang that could have resulted in delisting. The confirmation of $35 million market value threshold demonstrates improved market confidence and stability in the company's valuation. The company's transformation into a debt-free operation with reduced burn rate significantly strengthens its financial position.

The focus on ERNA-101 development in triple-negative breast cancer and platinum-resistant ovarian cancer represents clear value drivers. With improved financial health and maintained Nasdaq listing, Eterna is better positioned to attract institutional investors and potentially access capital markets if needed for clinical development. The removal of delisting risk typically reduces volatility and improves trading dynamics for small-cap biotechnology stocks.

CAMBRIDGE, Mass., Nov. 14, 2024 (GLOBE NEWSWIRE) -- Eterna Therapeutics Inc. (Nasdaq: ERNA) (“Eterna” or the “Company”) announced today that it has regained compliance with Nasdaq for continued listing and that its stock will continue to trade on The Nasdaq Stock Market. Eterna received formal confirmation on November 12th, 2024 from Nasdaq’s Office of General Counsel, verifying that Eterna has met the market value of listed securities standard of at least $35 million, outlined in Listing Rule 5550(b)(2), and that Eterna is in compliance with all applicable continued listing standards.

“With this achievement and the recent updates we’ve announced, we have transformed our company into a debt-free, low burn rate, fully functional preclinical stage cell therapy company with clear, focused developmental activities and near-term inflection points,” said Sanjeev Luther, President and CEO of Eterna Therapeutics. “With this compliance milestone behind us, we can continue to be laser focused on advancing ERNA-101 for our lead programs in triple-negative breast cancer and platinum-resistant, TP53-mutant ovarian cancer. Our goal remains to bring new treatment options to cancer patients in need, and we are encouraged by the progress we have made thus far,” continued Mr. Luther.

About Eterna Therapeutics Inc.

Eterna Therapeutics is a publicly traded, preclinical-stage company focused on using cutting-edge tools to deliver highly innovative, effective, and safe off-the-shelf cell therapies for the treatment of advanced solid tumors, with an initial emphasis on triple-negative breast cancer (TNBC) and platinum-resistant, TP53-mutant ovarian cancer. The company is currently focused on advancing its lead product ERNA-101, an induced allogenic mesenchymal stem cell (“iMSC”) product, designed to selectively deliver the pro-inflammatory cytokines IL-7 and IL-15 to the tumor microenvironment (TME) in order to drive significant anti-tumor immunity. ERNA-101 is built on the company's in-licensed core technology, which utilizes a best-in-class approach to engineer allogenic iPSCs to express genes of interest and to efficiently differentiate these cells into iMSCs. For more information, please visit https://www.eternatx.com/.

Forward-Looking Statements
This press release contains 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, which are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements, in some cases, can be identified by terms such as "believe," "may," "will," "estimate," "continue," "anticipate," "design," "intend," "expect," "could," "plan," "potential," "predict," "seek," "should," "would," "contemplate," "project," "target," "objective," or the negative version of these words and similar expressions. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause Eterna's actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by the forward-looking statements in this press release, including, without limitation, risks and uncertainties related to: Eterna's ability to execute its business strategy as a preclinical stage company and advance its product candidate; the ability to bring new treatment options to cancer patients in need; progress made on its research programs; and the ability to reduce its operating expenses. Forward-looking statements are based upon Eterna's current expectations and involve assumptions that may never materialize or may prove to be incorrect. All forward-looking statements are expressly qualified in their entirety by these cautionary statements. For a detailed description of Eterna's risks and uncertainties, you are encouraged to review its documents filed with the SEC including its recent filings on Form 8-K, Form 10-K and Form 10-Q. You are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date on which they were made. Eterna does not undertake any obligation to update the forward-looking statements contained herein to reflect events that occur or circumstances that exist after the date hereof, except as required by applicable law.

Investor Relations Contact:
investors@eternatx.com

FAQ

When did Eterna Therapeutics (ERNA) regain Nasdaq compliance?

Eterna Therapeutics received formal confirmation of Nasdaq compliance on November 12th, 2024.

What market value threshold did Eterna Therapeutics (ERNA) meet for Nasdaq compliance?

Eterna Therapeutics met the market value of listed securities standard of at least $35 million, as required by Nasdaq Listing Rule 5550(b)(2).

What are the main cancer programs Eterna Therapeutics (ERNA) is developing?

Eterna is developing ERNA-101 for triple-negative breast cancer and platinum-resistant, TP53-mutant ovarian cancer.