NLS Pharmaceutics Announces Receipt of Notice of Deficiency with Nasdaq Continued Listing Requirements

Rhea-AI Summary

NLS Pharmaceutics Ltd. (NASDAQ:NLSP, NLSPW) has received a notification from Nasdaq stating it is not in compliance with the minimum stockholders' equity requirement of at least $2,500,000.

Additionally, the company did not meet the alternative compliance standards concerning the market value of its securities or net income. NLS has 45 days until May 16, 2022, to submit a compliance plan to Nasdaq, which may grant an extension of up to 180 days if the plan is accepted. This notification does not immediately affect its Nasdaq listing.

Positive

• The company has 45 days to submit a plan to regain compliance with Nasdaq listing requirements.
• Quilience, the lead product candidate, has received Orphan Drug Designations in the U.S. and Europe for narcolepsy treatment.

Negative

• NLS Pharmaceutics did not meet the minimum stockholders' equity requirement for continued listing on Nasdaq.
• The company failed to satisfy alternative compliance standards regarding market value of securities and net income.

ZURICH, SWITZERLAND / ACCESSWIRE / April1, 2022 / NLS Pharmaceutics Ltd. (NASDAQ:NLSP)(NASDAQ:NLSPW) ("NLS" or the "Company"), a Swiss clinical-stage biopharmaceutical company focused on the discovery and development of innovative therapies for patients with rare and complex central nervous system disorders, announces that it has received a letter from the Listing Qualifications staff of The Nasdaq Stock Market ("Nasdaq") notifying the Company that it is no longer in compliance with the minimum stockholders' equity requirement for continued listing on the Nasdaq Capital Market. Nasdaq Listing Rule 5550(b)(1) requires listed companies to maintain stockholders' equity of at least $2,500,000. Further, the Company did not meet the alternative compliance standards relating to the market value of listed securities or net income from continuing operations, as set forth in Nasdaq Marketplace Rule 5550(b)(1). In accordance with Nasdaq Marketplace Rule 5810(c)(2)(A), the Company has 45 calendar days, or until May 16, 2022, to submit a plan to regain compliance. If the plan is accepted, Nasdaq can grant an extension of up to 180 calendar days from the date of the letter to evidence compliance. The notification letter has no immediate effect on the Company's listing on the Nasdaq Capital Market.

About NLS Pharmaceutics Ltd.

NLS Pharmaceutics Ltd. is a Swiss clinical-stage biopharmaceutical company led by an experienced management team with a track record of developing and repurposing product candidates to treat rare and complex central nervous system disorders. The Company's lead product candidate, Quilience®, is a proprietary extended-release formulation of Mazindol (Mazindol ER) and is being developed for the treatment of narcolepsy, and potentially other sleep-wake disorders such as idiopathic hypersomnia (IH). Mazindol is a triple monoamine reuptake inhibitor and partial Orexin-2 Receptor agonist, which was used for many years to treat patients diagnosed with narcolepsy in compassionate use programs. A Phase 2a clinical trial evaluating Quilience^® in adult subjects suffering from narcolepsy is currently ongoing in the United States. Previously, NLS successfully completed a Phase 2 study in the U.S. evaluating Nolazol^® (Mazindol Controlled-Release) in adult subjects suffering from ADHD. The study met all primary and secondary endpoints and Nolazol^® was well-tolerated. Quilience^® has received Orphan Drug Designations both in the U.S. and in Europe for the treatment of narcolepsy. Up to 1/3 of narcoleptic patients are also diagnosed with ADHD. NLS has announced that it plans to enable patients diagnosed with IH to access treatment with Quilience^® through an Early Access Program (EAP). EAPs have great potential to benefit all stakeholders involved, from the patient who receives the medicine early, to the pharmaceutical company who provides it. Although EAPs can represent a significant undertaking, companies who invest in them can see considerable benefit in terms of launch preparedness, relationship building and market penetration.

Corporate Contact

Alex Zwyer, CEO: +41 44 512 21 50

Investor Relations Contact

Cindy Rizzo: +1 908-229-7050

Media Contact

Pascal Nigen: +1 917-385-2160
Alpha Bronze, LLC
www.nlspharmaceutics.com

SOURCE: NLS Pharmaceutics Ltd.

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https://www.accesswire.com/695729/NLS-Pharmaceutics-Announces-Receipt-of-Notice-of-Deficiency-with-Nasdaq-Continued-Listing-Requirements

FAQ

What is the current compliance status of NLS Pharmaceutics regarding Nasdaq listing requirements?

NLS Pharmaceutics is not in compliance with the minimum stockholders' equity requirement and has until May 16, 2022, to submit a plan to regain compliance.

What happens if NLS Pharmaceutics fails to comply with Nasdaq requirements?

If NLS fails to submit an acceptable compliance plan, it risks being delisted from Nasdaq.

What is the stock symbol for NLS Pharmaceutics?

The stock symbols for NLS Pharmaceutics are NLSP and NLSPW.

What is Quilience developed for by NLS Pharmaceutics?

Quilience is being developed for the treatment of narcolepsy and potentially other sleep-wake disorders.

How has Quilience been recognized by regulatory agencies?

Quilience has received Orphan Drug Designations in both the U.S. and Europe for the treatment of narcolepsy.