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Pluri Inc. faces potential Nasdaq delisting over equity shortfall

EditorIsmeta Mujdragic
Published 07/23/2024, 11:48 AM
PLUR
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Biotechnology firm Pluri Inc. is confronting the possibility of being delisted from The Nasdaq Capital Market after failing to meet the minimum stockholders’ equity requirement, according to a recent 8-K filing with the Securities and Exchange Commission. The company, which specializes in biological products, was notified by Nasdaq on May 28, 2024, that it did not comply with the Listing Rule 5550(b)(1), which necessitates maintaining at least $2.5 million in stockholders' equity.

Pluri, previously known as Pluristem (NASDAQ:PLUR) Therapeutics Inc., submitted a Compliance Plan on July 11, 2024, to address the deficiency. Nasdaq has granted Pluri an extension until November 24, 2024, to regain compliance. If the company does not meet the requirements by the deadline, it risks being delisted, although it would have the right to appeal the decision.

The notice of noncompliance does not immediately impact the trading of Pluri’s common shares, which continue to be listed on Nasdaq under the ticker symbol "PLUR." The company has expressed its intention to take all reasonable measures to satisfy Nasdaq’s continued listing criteria.

The article is based on an 8K filing.

In other recent news, biotechnology company Pluri Inc. has been making noteworthy strides in several areas. Primarily, Pluri has entered a strategic proof of concept agreement with an undisclosed international agriculture corporation. The collaboration aims to enhance the global vegetable supply and promote sustainable agricultural practices using Pluri's proprietary 3D cell expansion technology.

In executive news, Pluri Inc. has seen a significant shift with CFO Chen Franco-Yehuda resigning and Liat Zalts stepping in as her successor. Zalts brings a wealth of experience from her time at Matics Manufacturing Analytics Ltd. and Ernst & Young Israel.

In terms of funding, Ever After Foods Ltd., a subsidiary of Pluri Inc., has secured $10 million to boost its cultivated meat, fish, and seafood production technology. The funding round was led by global corporations, aiming to address scalability challenges within the cultivated food industry.

Furthermore, Pluri Inc. received continued funding from the U.S. National Institute of Allergy and Infectious Diseases to advance its cell therapy PLX-R18, designed to treat hematopoietic complications of acute radiation syndrome. Additionally, the company secured a U.S. patent for a novel method of expanding immune cells, which could significantly impact the cell therapy industry.

Lastly, Pluri Inc. has entered a manufacturing agreement with Remedy Cell Ltd. to produce clinical-grade materials for Remedy Cell's drug candidate RC-0315, aimed at treating Idiopathic Pulmonary Fibrosis.

These are among the recent developments at Pluri Inc.

InvestingPro Insights

As Pluri Inc. navigates the challenges of meeting Nasdaq's stockholders' equity requirement, the company's financial health and market performance remain crucial for investors. According to real-time data from InvestingPro, Pluri Inc. has a market capitalization of $29.99 million and has experienced a notable revenue growth of 93.75% in the last twelve months as of Q3 2024. Despite the impressive growth, the company's revenue for the same period stands at $0.34 million, reflecting the scale of financial operations.

InvestingPro Tips highlight a mixed outlook for Pluri Inc. The company is expected to grow its net income this year, which may be a positive signal for investors looking for long-term growth potential. Additionally, Pluri Inc.'s liquid assets exceed its short-term obligations, indicating a degree of financial resilience. However, investors should be aware of the company's high revenue valuation multiple and the fact that it has not been profitable over the last twelve months. The stock's volatility is also a factor to consider, as it may affect investment stability.

For readers interested in a deeper analysis, there are additional InvestingPro Tips available that can provide further insight into Pluri Inc.'s financial health and market prospects. Use coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription for access to these insights.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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