Ocugen Granted 180-Day Extension by Nasdaq to Regain Compliance with Bid Price Rule

Rhea-AI Summary

Ocugen (NASDAQ: OCGN) announced it has been granted an additional 180-day compliance period by Nasdaq to meet the minimum bid price of $1.00 per share. This extension lasts until March 8, 2021, after the company failed to comply during the initial grace period. If the company's stock price closes at or above $1.00 for 10 consecutive days within this timeframe, compliance will be regained. Should it fail again, Ocugen may face delisting, although it can appeal the decision. The current notice does not affect the stock's trading status.

Positive

• Granted an additional 180-day compliance period by Nasdaq until March 8, 2021.
• Eligible to appeal potential delisting, allowing for continued trading under OCGN.

Negative

• Failed to regain compliance during the initial 180-day grace period.
• If compliance is not achieved, the company risks delisting from Nasdaq.

MALVERN, Pa., Sept. 08, 2020 (GLOBE NEWSWIRE) -- Ocugen, Inc. (“Ocugen” or the “Company”) (NASDAQ: OCGN), a biopharmaceutical company focused on discovering, developing, and commercializing transformative therapies to cure blindness diseases, today announced that the Company received a letter from the Listing Qualification Department of The NASDAQ Capital Market (“Nasdaq”) notifying that Ocugen has been granted an additional 180-day compliance period or until March 8, 2021, to regain compliance with the minimum $1.00 bid price per share requirement of Nasdaq’s Marketplace Rule 5550(a)(2) (the “Rule”).

If at any time until March 8, 2021, the bid price of the Company's common stock closes at $1.00 per share or more for a minimum of 10 consecutive business days, the Company will regain compliance with the Rule, and the matter will be closed. The letter indicated that the Company did not regain compliance during the initial 180-day grace period provided under the rule. In accordance with NASDAQ Marketplace Rule 5810(c)(3)(A), Nasdaq staff determined that the Company was eligible for an additional 180-day period to regain compliance based on the Company meeting the continued listing requirement for the market value of publicly held shares and all other applicable requirements for initial listing on the Nasdaq Capital Market with the exception of the bid price requirement, and the Company having provided written notice of its intention to cure the deficiency during the second compliance period, including by effecting a reverse stock split, if necessary.

If the Company does not meet the minimum bid requirement during the additional 180-day grace period, Nasdaq will provide written notification to the Company that its shares will be subject to delisting. At such time, the Company may appeal the delisting determination to a Nasdaq Hearings Panel. The Company would remain listed pending the Panel's decision. There can be no assurance that if the Company does appeal a subsequent delisting determination, that such appeal would be successful.

This current notification from Nasdaq has no immediate effect on the listing or trading of the Company's shares, which will continue to trade on the Nasdaq Capital Market under the symbol “OCGN”.

About Ocugen, Inc.
Ocugen, Inc. is a biopharmaceutical company focused on discovering, developing, and commercializing transformative therapies to cure blindness diseases. Our breakthrough modifier gene therapy platform has the potential to treat multiple retinal diseases with one drug – “one to many” and our novel biologic product candidate aims to offer better therapy to patients with underserved diseases such as wet age-related macular degeneration, diabetic macular edema, and diabetic retinopathy. For more information, please visit www.ocugen.com.

Cautionary Note on Forward-Looking Statements
This press release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995, which are subject to risks and uncertainties. We may, in some cases, use terms such as “predicts,” “believes,” “potential,” “proposed,” “continue,” “estimates,” “anticipates,” “expects,” “plans,” “intends,” “may,” “could,” “might,” “will,” “should” or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. Such statements are subject to numerous important factors, risks and uncertainties that may cause actual events or results to differ materially from our current expectations. These and other risks and uncertainties are more fully described in our periodic filings with the Securities and Exchange Commission (the “SEC”), including the risk factors described in the section entitled “Risk Factors” in the quarterly and annual reports that we file with the SEC. Any forward-looking statements that we make in this press release speak only as of the date of this press release. Except as required by law, we assume no obligation to update forward-looking statements contained in this press release whether as a result of new information, future events or otherwise, after the date of this press release.

Corporate Contact:
Ocugen, Inc.
Sanjay Subramanian
Chief Financial Officer
ir@ocugen.com

Media Contact:
LaVoieHealthScience
Emmie Twombly
etwombly@lavoiehealthscience.com
+1 857-389-6042

FAQ

What is the current compliance status of Ocugen (OCGN) with Nasdaq?

Ocugen has been granted an additional 180 days until March 8, 2021, to comply with the $1.00 per share minimum bid price requirement.

What happens if Ocugen does not meet Nasdaq's compliance requirements by March 8, 2021?

If Ocugen does not meet the bid price requirement, it may face delisting, but can appeal the decision.

What is the significance of the additional compliance period for OCGN stockholders?

The additional compliance period gives Ocugen a chance to regain compliance, which could stabilize the stock and reduce the risk of delisting.

How long is the extended compliance period for Ocugen?

The extended compliance period is an additional 180 days, set to end on March 8, 2021.

What is the minimum bid price requirement Ocugen must meet?

Ocugen must achieve a minimum bid price of $1.00 per share to comply with Nasdaq's requirements.