NEW YORK, September 13, 2024 – MiNK Therapeutics, Inc. (NASDAQ:INKT), a biopharmaceutical company focused on the development of biological products, has been notified by The Nasdaq Stock Market LLC of a potential delisting due to non-compliance with market value requirements.
The notice, received today, indicates that the company's Minimum Value of Listed Securities (MVLS) has fallen below the Nasdaq Listing Rule 5550(b)(2) threshold of $35.0 million for 30 consecutive trading days.
Nasdaq has granted MiNK Therapeutics a 180-day period, until March 12, 2025, to regain compliance. To meet the necessary criteria, the company's MVLS must exceed $35.0 million for at least ten consecutive trading days during this timeframe. If MiNK Therapeutics fails to achieve compliance by the deadline, the company's stock may be delisted from the Nasdaq exchange.
Upon receipt of a delisting notification, MiNK Therapeutics would have the right to appeal the decision before a Nasdaq Hearings Panel. The company has stated it will continue to monitor its MVLS and explore options to satisfy the MVLS Rule. However, there is no guarantee that it will be able to regain compliance within the allotted time.
This development follows the company's previous name change from AgenTus Therapeutics, Inc. to MiNK Therapeutics, Inc. on January 12, 2021. Headquartered on Fifth Avenue in New York, MiNK Therapeutics operates under the organization name 03 Life Sciences and is incorporated in Delaware.
The information provided is based on the company's latest SEC filing. Investors and stakeholders are watching closely as MiNK Therapeutics navigates this regulatory challenge. The company's leadership, including CEO Jennifer Buell, Ph.D., has not issued any further statements regarding their strategy to address the MVLS shortfall.
In other recent news, MiNK Therapeutics has been navigating a potential delisting from the Nasdaq Stock Market due to its failure to meet the minimum bid price requirement.
The company is planning to appeal this process by requesting a hearing before the Nasdaq Hearings Panel. Concurrently, MiNK Therapeutics has been making strides in its primary cell therapy programs, AgenT-797 and MiNK-215.
The former is currently in a Phase II trial for gastric cancer and ARDS, with plans for a Phase I trial for GvHD, while MiNK-215, targeting solid tumors, is poised for an IND filing in 2025. The firm's financial strategy has focused on non-dilutive funding and strategic partnerships, ending the second quarter of 2024 with a $9.3 million cash balance and a reduced operational cash burn. Despite these efforts, the company reported a net loss of $2.7 million for Q2 2024.
InvestingPro Insights
As MiNK Therapeutics faces the challenge of Nasdaq delisting, investors are keenly observing the company's financial health and market performance. According to InvestingPro data, MiNK Therapeutics has a market capitalization of $30.2 million, which is below the Nasdaq's MVLS threshold. The company's stock is trading near its 52-week low, with a price of $0.76 at the previous close, reflecting a year-to-date price total return of -28.63%. This underscores the urgency for the company to address its market value compliance issue.
An InvestingPro Tip highlights that MiNK Therapeutics holds more cash than debt on its balance sheet, which could provide some financial flexibility as they explore options to meet Nasdaq's requirements. However, the company is quickly burning through cash and analysts do not anticipate profitability this year, which could affect investor confidence. Moreover, MiNK Therapeutics does not pay a dividend, which may limit its appeal to income-focused investors.
For investors considering MiNK Therapeutics' stock, there are additional InvestingPro Tips available that provide deeper insights into the company's financials and market potential. For instance, there are more tips listed on InvestingPro that could influence investment decisions. These include observations on earnings revisions by analysts and the company's gross profit margins. To access the full range of tips and make more informed investment choices, visit https://www.investing.com/pro/INKT.
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