T2 Biosystems Receives Nasdaq Extension to Comply with Bid Price Rule; Company to Transfer to Nasdaq Capital Market

Rhea-AI Summary

T2 Biosystems (NASDAQ:TTOO) received an extension from the Nasdaq Hearings Panel until November 1, 2022, to meet the minimum bid price requirement of $1.00 per share for compliance. The Company must maintain this price for at least 10 consecutive business days. Failure to comply may lead to delisting. T2 Biosystems is also transferring its stock listing from the Nasdaq Global Market to the Nasdaq Capital Market, effective June 13, 2022, without impacting trading. The Company monitors its stock price and may consider a reverse stock split as needed.

Positive

• Extension until November 1, 2022, to regain compliance with Nasdaq's minimum bid price requirement.
• Transfer to Nasdaq Capital Market may enhance listing stability.

Negative

• Failure to meet the bid price requirement could result in delisting from Nasdaq.
• Dependence on potential actions like a reverse stock split to comply with listing requirements.

LEXINGTON, Mass., June 10, 2022 (GLOBE NEWSWIRE) -- T2 Biosystems, Inc. (NASDAQ:TTOO), a leader in the rapid detection of sepsis-causing pathogens and antibiotic resistance genes, announced today that the Nasdaq Hearings Panel (the “Panel”) has granted the Company's request for an extension until November 1, 2022, to regain compliance with Nasdaq's minimum bid price requirement, as set forth in Nasdaq Listing Rule 5550(a)(2) (the “Bid Price Rule”).

To satisfy the Bid Price Rule in accordance with the terms of the Panel’s decision, by November 1, 2022, the Company must evidence a closing bid price of at least $1.00 per share for a minimum of 10 consecutive business days. If the Company is able to do so within the prescribed time period and satisfies all other applicable criteria for continued listing, the matter will be closed. During the extension period, the Company will continue to actively monitor the stock price while it considers the options available to it and to take action, if necessary and as deemed appropriate by the Company’s board, to remedy the deficiency, including potentially effecting a reverse stock split. There can be no assurance that the Company will be able to timely comply with the terms of the Panel’s decision and, if it cannot, the Company’s common stock will be delisted from Nasdaq.

The Panel also approved the Company’s request to transfer its listing of common stock from The Nasdaq Global Market to The Nasdaq Capital Market tier, which transfer will take effect prior to the open of business on June 13, 2022. The transfer is not expected to have any impact on trading in the Company’s common stock, which will continue to trade under the symbol “TTOO.” The Capital Market tier operates in substantially the same manner as the Global Market tier, with both tiers requiring issuers to satisfy certain minimum financial and corporate governance criteria to qualify for continued listing on Nasdaq.

About T2 Biosystems:

T2 Biosystems, a leader in the rapid detection of sepsis-causing pathogens and antibiotic resistance genes, is dedicated to improving patient care and reducing the cost of care by helping clinicians effectively treat patients faster than ever before. T2 Biosystems’ products include the T2Dx^® Instrument, the T2Bacteria^® Panel, the T2Candida^® Panel, the T2Resistance^® Panel, and the T2SARS-CoV-2™ Panel and are powered by the proprietary T2 Magnetic Resonance (T2MR^®) technology. T2 Biosystems has an active pipeline of future products, including the T2Biothreat™ Panel, the T2Cauris™ Panel, and T2Lyme™ Panel, as well as next-generation products for the detection of bacterial and fungal pathogens and associated antimicrobial resistance markers.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements about the Company’s ability to regain compliance with the listing requirements of the Nasdaq Capital Market, including its ability to effect a reverse share split, as well as statements that include the words “expect,” “intend,” “plan”, “believe”, “project”, “forecast”, “estimate,” “may,” “should,” “anticipate,” and similar statements of a future or forward looking nature. These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to, (i) any inability to (a) realize anticipated benefits from commitments, contracts or products; (b) successfully execute strategic priorities; (c) bring products to market; (d) expand product usage or adoption; (e) obtain customer testimonials; (f) accurately predict growth assumptions; (g) realize anticipated revenues; (h) incur expected levels of operating expenses; or (i) increase the number of high-risk patients at customer facilities; (ii) failure of early data to predict eventual outcomes; (iii) failure to make or obtain anticipated FDA filings or clearances within expected time frames or at all; or (iv) the factors discussed under Item 1A. “Risk Factors” in the company’s Annual Report on Form 10-K for the year ended December 31, 2021, filed with the U.S. Securities and Exchange Commission, or SEC, on March 23, 2022, and other filings the company makes with the SEC from time to time. These and other important factors could cause actual results to differ materially from those indicated by the forward-looking statements made in this press release. Any such forward-looking statements represent management’s estimates as of the date of this press release. While the company may elect to update such forward-looking statements at some point in the future, unless required by law, it disclaims any obligation to do so, even if subsequent events cause its views to change. Thus, no one should assume that the Company’s silence over time means that actual events are bearing out as expressed or implied in such forward-looking statements. These forward-looking statements should not be relied upon as representing the company’s views as of any date subsequent to the date of this press release.

Investor Contact:
Philip Trip Taylor, Gilmartin Group
philip@gilmartinIR.com
415-937-5406

FAQ

What deadline has T2 Biosystems set to regain compliance with Nasdaq's minimum bid price requirement?

T2 Biosystems has until November 1, 2022, to regain compliance.

What is the minimum bid price T2 Biosystems must maintain to comply with Nasdaq's requirements?

T2 Biosystems must maintain a closing bid price of at least $1.00 per share.

What could happen if T2 Biosystems fails to comply with Nasdaq's bid price requirement?

If T2 Biosystems fails to comply, its common stock may be delisted from Nasdaq.

What action might T2 Biosystems consider to remedy its bid price deficiency?

The Company may consider implementing a reverse stock split to meet the bid price requirement.

When will T2 Biosystems' transfer to the Nasdaq Capital Market take effect?

The transfer will take effect prior to the open of business on June 13, 2022.