Celyad Oncology (NASDAQ:CYAD) is delisting its American Depositary Shares (ADSs) from Nasdaq.
The company’s board approved the voluntary delisting of the ADSs, representing ordinary shares, termination of its American Depositary Receipt (ADR) facility and deregistration with the U.S. Securities and Exchange Commission (SEC).
The Belgium-based company noted that it will continue to be listed on Euronext Brussels.
Celyad will file an application with the SEC around May 15 related to the delisting. The company expects the last trading on Nasdaq to be about May 24.
Celyad had failed to be in compliance with Nasdaq’s rules of stockholders’ equity of at least $10M and minimum $1 share price for continued listing on the exchange.
The board’s decision was based on review of factors, including eliminating the costs of being listed on Nasdaq, complying with reporting rules with the SEC and eliminating the demands on management’s time of complying with the listing standards, the company added.
Earlier today, Ceylad reported its Q1 results in which the company noted that its existing cash will not be sufficient to fund its operating and capital expenditures over at least the next 12 months and that it was evaluating financing options to get the required funding to extend its cash runway beyond the one year.
Ceylad’s stock had taken a hit in December after blood cancer drug CYAD-211 got axed as part of a strategic and financial review.
The shares continued to suffer in March when the company announced that it would recognize a non-cash impairment of its goodwill and intangible oncology assets; and that its board planned to submit for a vote its business plan, including a proposal to continue the company’s activities.