DAVID GRANOVSKY

Aastrom requests delisting extension

In BUSINESS OF STEM CELLS on October 8, 2009 at 3:19 pm

Aastrom Biosciences Inc. will request hearing to avoid Nasdaq delisting – By Gabe Nelson

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Aastrom is a leader in regenerative medicine developing autologous cell products for the treatment of chronic cardiovascular diseases.

Ann Arbor-based Aastrom Biosciences Inc. (Nasdaq: ASTM) is in danger of being removed from the Nasdaq Stock Exchange because the company’s stock price has remained below the listing threshold of $1, the company said today.

Aastrom plans to request a hearing with Nasdaq by Oct. 13 to request an extension, according to a statement.

Aastrom produces stem cell-based therapeutics to repair human tissue. The stem cells, grown from a patient’s bone marrow, are used to treat conditions such as chronic cardiovascular diseases.

The company first faced delisting in December 2007 and received a 180-day extension the following June.

Though Aastrom’s stock price stayed below $1, the company remained listed because of a temporary change to Nasdaq policy. The exchange suspended threshold requirements from last October until this July because so many companies saw their stock fall below $1 during the recession.

The most recent extension, granted in July, gave Aastrom until Oct. 1.

The exchange could choose to grant Aastrom an additional 180 days, or until March 31, 2010, to meet listing criteria.

The company’s stock price would need to close at $1 or above for 10 consecutive days of trading.

It opened Wednesday at 42 cents.

via Aastrom Biosciences Inc. will request hearing to avoid Nasdaq delisting – Detroit News and Information – Crain’s Detroit Business.

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  1. Can you tell us if their extension was approved? Today is the 14th and usually they make their position known on the same day. Thank you, Peter

    • It is my understanding that they have requested the oral hearing within the timeframe (prior to Oct 14th):
      “Aastrom intends to request an oral hearing before the Panel within the timeframe provided by NASDAQ, which will stay the delisting of the Company’s securities.”

      The next step is for Nasdaq to schedule the hearing within 45 days of oct 14:
      “NASDAQ has provided guidance that to the extent practicable, it will schedule the hearing within 45 days of the date that the request for hearing is filed by Aastrom.”

      “At the hearing, Aastrom intends to request continued listing on the NASDAQ Capital Market based upon its plan for regaining compliance with the minimum bid price requirement. The Panel has the authority, if it deems appropriate, to grant Aastrom up to an additional 180 days from the date of the Staff Determination letter of October 2, 2009, or until March 31, 2010, to implement its plan of compliance. The letter notes that the Company may wish to consider presenting a plan that includes a discussion of the events that it believes will enable it to regain compliance in this time frame, along with a commitment to effect a reverse stock split, if necessary.”

      I also believe that they have met all the requirements of maintaining their Nasdaq listing status except for the $1 minimum. Finally, the “dumb” analysis is: they are still listed because the stock is trading today and shows that it is listed on the Nasdaq on Google Finnce, Yahoo Finance and BLoomberg.com:
      $0.355
      +0.004 (1.08%)
      Real-time: 1:29PM EDT

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