Titan Pharmaceuticals faces non-compliance notices from Nasdaq for delayed filings and audit committee requirements, planning corrective actions.
Quiver AI Summary
Titan Pharmaceuticals, Inc. received a notice from Nasdaq indicating non-compliance with its listing requirements due to the late filing of its Quarterly Report on Form 10-Q for the third quarter of 2024. The company has until January 21, 2025, to submit a plan to regain compliance, with a potential extension until May 19, 2025, if accepted. Additionally, Titan was notified that it no longer meets Nasdaq's audit committee requirements following the appointment of a new Acting Principal Executive Officer on November 6, 2024. The company plans to appoint an additional independent director to address this compliance issue. Titan, previously focused on developing therapeutics utilizing its ProNeura technology, is also exploring strategic alternatives to enhance shareholder value.
Potential Positives
- The company is proactively working to file its Q3 Form 10-Q as soon as possible, which demonstrates commitment to compliance and transparency with investors.
- Titan Pharmaceuticals has a structured plan in place to regain compliance with Nasdaq’s Listing Rule, showcasing organizational readiness to address regulatory challenges.
- The company intends to appoint an additional independent director to the Board and Audit Committee, which could strengthen governance and enhance investor confidence.
- The press release provides a timeline for compliance, which helps to clarify the company's path forward and manage investor expectations.
Potential Negatives
- The company is non-compliant with Nasdaq's continued listing requirements due to the failure to timely file its Quarterly Report on Form 10-Q for Q3 2024, which raises concerns about its operational management and financial reporting.
- The appointment of an Acting Principal Executive Officer and Acting Principal Financial Officer indicates instability in leadership, which could impact investor confidence and company performance.
- The company has been given a limited timeframe to regain compliance with multiple Nasdaq rules, which may exert additional pressure on its management team and resources.
FAQ
What does the 5250 Notice from Nasdaq mean for Titan Pharmaceuticals?
The 5250 Notice indicates that Titan is not compliant with Nasdaq's listing requirements due to the untimely filing of its Q3 Form 10-Q.
What is the deadline for Titan to regain compliance with Nasdaq?
Titan has until January 21, 2025, to submit a plan for regaining compliance with Nasdaq's listing rules.
How long can Titan extend its compliance deadline?
If accepted, Nasdaq may grant Titan an additional 180 days, extending the deadline to May 19, 2025.
What is the purpose of the 5605 Notice Titan received?
The 5605 Notice informs Titan that it is not in compliance with Nasdaq's audit committee requirements following recent executive appointments.
How does Titan plan to address the compliance issues noted by Nasdaq?
Titan intends to appoint an additional independent director to the Board and Audit Committee before the end of the cure periods.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$TTNP Hedge Fund Activity
We have seen 4 institutional investors add shares of $TTNP stock to their portfolio, and 3 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- TRUIST FINANCIAL CORP removed 31,255 shares (-100.0%) from their portfolio in Q3 2024
- RENAISSANCE TECHNOLOGIES LLC added 11,066 shares (+inf%) to their portfolio in Q3 2024
- UBS GROUP AG added 4,772 shares (+477200.0%) to their portfolio in Q3 2024
- TOWER RESEARCH CAPITAL LLC (TRC) added 26 shares (+3.6%) to their portfolio in Q3 2024
- NEWEDGE ADVISORS, LLC removed 1 shares (-100.0%) from their portfolio in Q3 2024
- FMR LLC removed 1 shares (-100.0%) from their portfolio in Q3 2024
- MORGAN STANLEY added 1 shares (+33.3%) to their portfolio in Q3 2024
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
NEW YORK, Nov. 27, 2024 (GLOBE NEWSWIRE) -- Titan Pharmaceuticals, Inc. (NASDAQ: TTNP) (“Titan”) today reported that it received a notice (the “5250 Notice”) on November 22, 2024 from the Listing Qualifications Department of The Nasdaq Stock Market LLC (“Nasdaq”) advising the Company that it was not in compliance with Nasdaq’s continued listing requirements under the Nasdaq Listing Rule 5250(c)(1) (“Rule 5250”) as a result of its failure to file its Quarterly Report on Form 10-Q for the quarter ended September 30, 2024 (the “Q3 Form 10-Q”) in a timely manner.
Under Nasdaq rules, the Company has 60 calendar days from receipt of the 5250 Notice or until January 21, 2025, to submit a plan to regain compliance with the Listing Rule. If Nasdaq accepts the Company’s plan, then Nasdaq may grant an exception of up to 180 calendar days from the due date of the Q3 Form 10-Q, or until May 19, 2025, to regain compliance.
In response to the Notice, the Company is working to file the Q3 Form 10-Q as soon as possible in order to regain compliance with the Listing Rule. However, if the Company does not submit the Q3 Form 10-Q by January 21, 2025, the Company will submit a plan by such date to Nasdaq that outlines, as definitively as possible, the steps the Company will take to promptly file the Q3 Form 10-Q.
Additionally, on November 25, 2024, the Company received a notice (the “5605 Notice”) from Nasdaq advising the Company that, following the appointment of Brynner Chiam as Acting Principal Executive Officer and Acting Principal Financial Officer of the Company on November 6, 2024, the Company no longer complies with Nasdaq’s audit committee requirements as set forth in Listing Rule 5605 (“Rule 5605”). Nasdaq advised that consistent with Listing Rule 5605(c)(4), Nasdaq will provide the Company with a cure period in order to regain compliance with Rule 5605: (i) until the earlier of the Company’s next annual shareholders’ meeting or November 6, 2025; or (ii) if the next annual shareholders’ meeting is held before May 5, 2025, then the Company must evidence compliance no later than May 5, 2025.
The Company intends to appoint an additional independent director to the Board of Directors and the Audit Committee prior to the end of the cure periods.
About Titan Pharmaceuticals
Titan Pharmaceuticals, Inc. (NASDAQ: TTNP), formerly based in South San Francisco, CA, is a development stage company previously focused on developing proprietary therapeutics utilizing ProNeura® long-term, continuous drug delivery technology. In December 2021, Titan commenced a process to explore and evaluate strategic alternatives to enhance shareholder value.
Forward-Looking Statements
This press release may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such statements include, but are not limited to, any statements relating to our product development programs and any other statements that are not historical facts. Such statements involve risks and uncertainties that could negatively affect our business, operating results, financial condition and stock price. Factors that could cause actual results to differ materially from management's current expectations include those risks and uncertainties relating to our ability to raise capital, the regulatory approval process, the development, testing, production and marketing of our drug candidates, patent and intellectual property matters and strategic agreements and relationships. We expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in our expectations or any changes in events, conditions or circumstances on which any such statement is based, except as required by law. A complete discussion of the risks and uncertainties that may affect Schmitt's business, including the business of its subsidiary, is included in “Risk Factors” in the Company's most recent Annual Report on Form 10-K as filed by the Company with the Securities and Exchange Commission.
Media & Investor Contacts
Brynner Chiam
Acting Principal Executive Officer and Acting Principal Financial Officer
(786) 769-7512