Sol-Gel receives Nasdaq compliance extension
On November 18, 2024, Sol-Gel Technologies Ltd., a company specializing in dermatological treatments, received an important extension regarding its compliance with Nasdaq’s listing requirements. The company was initially at risk of being delisted from the Nasdaq Global Market after its stock price remained below $1 for 33 consecutive business days. However, Nasdaq granted Sol-Gel an additional six months to meet the minimum bid price requirement.
Sol-Gel, headquartered in Ness Ziona, Israel, is known for its innovative products, including TWYNEO® and EPSOLAY®, both approved by the FDA for treating skin conditions like acne and rosacea. Despite these successes, the company faced financial struggles that led to its stock price falling below the necessary threshold. As of the notification date, its share price was significantly lower than the $1 minimum required for continued listing.
The Nasdaq extension, which allows Sol-Gel until May 2025 to bring its share price back above $1 for at least 10 consecutive trading days, is a crucial lifeline. If the company cannot meet this condition within the new timeframe, it may still be granted further relief, but only if it complies with other Nasdaq criteria for continued listing, including market capitalization and shareholder equity.
This extension provides Sol-Gel with the time needed to address its financial challenges, which include declining revenues and the impact of the ongoing economic conditions. Despite these difficulties, the company remains focused on its pipeline, which includes promising treatments for rare skin conditions like Gorlin syndrome.
Sol-Gel’s leadership has expressed confidence that they will continue to monitor the stock price and explore options to regain compliance with Nasdaq’s standards. Investors are closely watching these developments, as the company works to strengthen its financial health and meet the necessary conditions to maintain its Nasdaq listing
