BioSig Technologies, Inc. (NASDAQ:OTC:BSGM), a medical device company based in Los Angeles, California, has received a decision from the Nasdaq Listing and Hearing Review Council that provides the company with a grace period to regain compliance with Nasdaq's market value of listed securities requirement.
As of Monday, the company has been granted until March 7, 2025, to meet the minimum market value standard of $35 million, as per the Nasdaq Listing Rule 5550(b)(2), also known as the MVLS Rule.
The company also announced that starting Wednesday, its common stock will begin trading on The Nasdaq Stock Market with the opening of trading. This development follows the company's proactive efforts to maintain its listing status and provides it with additional time to work towards meeting the necessary financial criteria.
The news of the grace period and the continuation of trading on Nasdaq could be seen as a positive step for BioSig Technologies, which specializes in electromedical and electrotherapeutic apparatus. The company's main focus is on improving the quality of cardiac recordings during electrophysiology studies and catheter ablation procedures.
In other recent news, BioSig Technologies, Inc., has undergone significant changes. The company has appointed a new Chairman of the Board, Anthony Amato, who is also the Chief Executive Officer. Along with his appointment, an Executive Employment Agreement was established, setting his base salary at $300,000 and offering potential bonuses and stock options.
BioSig has also shifted its trading platform to the OTCQB marketplace after being suspended from The Nasdaq Stock Market due to non-compliance issues. The company is currently appealing this decision.
In an effort to generate revenue, BioSig initiated a registered direct offering and private placement, aiming to raise about $3 million for working capital and general corporate purposes. The firm has agreed to issue and sell approximately 1.57 million shares of common stock, with H.C. Wainwright & Co. acting as the exclusive placement agent.
InvestingPro Insights
Recent data from InvestingPro sheds additional light on BioSig Technologies' (NASDAQ:BSGM) financial situation and market performance. The company's market capitalization stands at a modest $8.17 million, reflecting its current challenges. Despite the grace period granted by Nasdaq, InvestingPro Tips highlight that BSGM is "quickly burning through cash" and that "short term obligations exceed liquid assets," which may explain the company's struggle to meet Nasdaq's market value requirements.
On a positive note, BSGM has seen a "significant return over the last week," with a 58.2% price increase, and a strong 47.03% return over the last month. This recent uptick could potentially help the company in its efforts to regain compliance with Nasdaq's MVLS Rule.
However, the company faces significant headwinds. InvestingPro Tips indicate that analysts anticipate a sales decline in the current year and do not expect the company to be profitable. This aligns with the reported revenue of just $0.04 million in the last twelve months and an operating income of -$18.69 million for the same period.
For investors seeking a more comprehensive analysis, InvestingPro offers 11 additional tips for BSGM, providing a deeper understanding of the company's financial health and market position.
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