SAN DIEGO – Gyre Therapeutics, Inc., a pharmaceutical company, is currently not in compliance with the Nasdaq's audit committee requirements following the resignation of Nassim Usman from its Board of Directors and Audit Committee. The company received a notification from the Nasdaq on Monday, confirming the non-compliance due to the lack of the required minimum number of independent directors on its Audit Committee.
The departure of Dr. Usman, effective last Thursday, leaves Gyre Therapeutics with a vacancy on its Audit Committee. Nasdaq Listing Rule 5605 stipulates that the audit committee must have at least three independent directors. Gyre has until its next annual stockholders' meeting or June 30, 2025, to address the shortfall, in accordance with the Nasdaq's cure period.
The company has stated that Dr. Usman's resignation was not related to any disagreements over the company's operations, policies, or practices. Gyre Therapeutics is actively seeking a new independent director qualified to serve on the Audit Committee and is committed to regaining compliance within the allotted cure period.
The situation arises as the company, headquartered at 12770 High Bluff Drive, Suite 150, San Diego, CA, navigates the challenges of maintaining its listing on the Nasdaq Capital Market under the ticker NASDAQ:GYRE. This development is based on a recent SEC filing by the company.
In other recent news, Gyre Therapeutics has been making significant strides in its operations. The biotech firm has received approval from China's National Medical Products Administration (NMPA) for its drug avatrombopag maleate tablets, a treatment for adults with thrombocytopenia associated with chronic liver disease.
This development is a significant step for Gyre Therapeutics in its efforts to extend its product range for rare diseases and to establish a stronger foothold in the chronic liver disease treatment market.
In addition, Gyre Therapeutics has also been given the green light by China's drug regulator to commence clinical trials for its pulmonary arterial hypertension (PAH) medication, F230. This approval marks another crucial step in addressing PAH, a severe and life-threatening disorder. The drug has shown potential in preclinical studies, demonstrating significant reductions in several key PAH severity indicators.
Furthermore, Gyre Therapeutics is set to be included in the Russell 2000® and Russell 3000® Indexes as of June 28, 2024. This inclusion is expected to increase its visibility in the investment community. As Gyre Therapeutics continues to advance its clinical development strategies, it is important to note that positive clinical trial results may not necessarily predict future outcomes and that economic and industrial conditions can affect the company's progress.
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