Salt Lake City-based pharmaceutical company Clene Inc. has successfully regained compliance with Nasdaq's continued listing standards. The company, which trades under the ticker CLNN, had previously been under scrutiny for its stock price performance.
On Monday, Clene Inc. received formal notification from Nasdaq confirming that from July 11 to July 24, the company's common stock maintained a closing bid price of $1.00 per share or greater for 10 consecutive business days. This achievement means Clene Inc. meets the Nasdaq Listing Rule 5550(a)(2), which requires companies to maintain a minimum bid price of $1.00 per share.
The compliance notice effectively closes the matter regarding Clene Inc.'s listing status, ensuring its continued presence on the Nasdaq Capital Market. This development follows the company's previous struggles to meet the exchange's stringent requirements.
Clene Inc., which operates under the organization name 03 Life Sciences, has a primary focus on pharmaceutical preparations. The company's history includes a former identity as Chelsea Worldwide Inc., which underwent a name change on August 27, 2020.
The company is headquartered at 6550 South Millrock Drive, Suite G50, in Salt Lake City, Utah, and is registered in Delaware. The company's fiscal year ends on December 31.
The news of Clene Inc.'s regained compliance was disclosed in a Form 8-K filed with the Securities and Exchange Commission (SEC) on Friday, July 26, 2024. The 8-K form is a report of unscheduled material events or corporate changes at a company that could be of importance to the shareholders or the SEC.
The market response to this announcement will be closely observed by investors and stakeholders who monitor the performance of pharmaceutical companies on major stock exchanges. Clene Inc.'s ability to maintain its listing on the Nasdaq Capital Market is an essential aspect of its accessibility to investors and overall market visibility.
This article is based on a press release statement.
In other recent news, Clene Inc. announced a 1-for-20 reverse stock split, aiming to regain compliance with Nasdaq's minimum bid price requirement for continued listing. The company's outstanding common stock will decrease from approximately 128.7 million shares to about 6.4 million shares, affecting all stockholders uniformly.
In addition, Clene Inc. disclosed promising preclinical data for its product, CNM-Au8, a potential treatment for Rett Syndrome. Analyst firm H.C. Wainwright reiterated a Buy rating for the company, reflecting confidence in the potential of CNM-Au8. These are among the recent developments for Clene Inc., which continues to make strides in its clinical and preclinical programs.
InvestingPro Insights
As Clene Inc. celebrates its regained compliance with Nasdaq listing standards, a look at the company's financial health and stock performance offers a broader perspective for investors. According to recent data from InvestingPro, Clene Inc. has a market capitalization of $28.31 million, reflecting its scale in the pharmaceutical industry. Despite a challenging year, the company has shown a revenue growth of 12.73% over the last twelve months as of Q1 2024, indicating potential in its operational performance.
Investors should note, though, that Clene Inc. is currently trading near its 52-week low, with a price 28.42% of the 52-week high, signaling a significant downturn in its stock price. Additionally, the company has not been profitable over the last twelve months, with an adjusted P/E ratio of -0.57, suggesting that earnings have not kept pace with shareholder expectations. An InvestingPro Tip highlights that analysts do not anticipate the company will be profitable this year, which could be a concern for potential investors.
For those interested in a deeper dive into Clene Inc.'s financial metrics and future outlook, InvestingPro offers additional insights. There are 12 more InvestingPro Tips available, which could further inform investment decisions. To access these insights and enhance your investment strategy, use the coupon code PRONEWS24 for up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription.
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