Telesis Bio Announces Plans for Nasdaq Delisting Process

Author: Ryan Hughes Updated: 09-10-2024 04:46 PM

Telesis Bio Moves Forward with Delisting from Nasdaq

Telesis Bio Inc. (NASDAQ: TBIO), a pioneer in RNA and DNA solutions, has made a significant decision regarding its stock market status. The company has announced its intention to voluntarily delist its shares from the Nasdaq Stock Market. This move comes after ongoing challenges related to maintaining compliance with Nasdaq’s listing requirements.

Reasons Behind the Delisting

Telesis has informed Nasdaq of its plan to delist its common stock and deregister under the Securities Exchange Act. The delisting is largely a response to the company’s inability to meet minimum stockholder's equity requirements, which stipulate that a company must maintain at least $10 million in stockholders' equity. Telesis was given a 180-day extension to comply with these requirements but ultimately determined that it could not do so.

Financial Compliance Challenges

In June, Telesis received notice from Nasdaq that its Market Value of Publicly Held Shares (MVPHS) fell below the essential minimum of $5 million. This was yet another hurdle for the company on its path to meet the regulatory requirements set forth by Nasdaq. Faced with these challenges, the decision to delist from Nasdaq appears to be a strategic move aimed at refocusing its efforts on private sales and other markets.

Transitioning to OTC Markets

Post-delisting, Telesis Bio expects its shares to be quoted on an over-the-counter (OTC) market. This shift means trading may continue in a less regulated environment, providing some continuity for investors. However, the company has acknowledged that there are no guarantees concerning ongoing trading functions or market-making activities in the OTC space.

Looking Ahead

Telesis remains committed to its core mission of providing advanced synthetic biology solutions. The company empowers scientists by offering innovative tools for DNA and mRNA synthesis that support a variety of applications in medicine and research. By reinforcing its focus on these solutions, Telesis aims to overcome current market challenges while fostering development in vital scientific fields.

About Telesis Bio

Founded with a vision to address significant global challenges, Telesis Bio has carved a niche in the synthetic biology landscape. The company developed the Gibson Assembly method, a game-changer in DNA synthesis, alongside the first commercial automated benchtop DNA and mRNA synthesis systems. Telesis’s technology allows for rapid and precise synthesis, drastically reducing development times for essential biomedical applications.

Commitment to Innovation

As a public company, Telesis continues to innovate, supporting researchers worldwide in creating high-value products in areas like precision medicine, vaccine development, and gene therapy. While the transition to OTC markets poses its own set of challenges, Telesis aims to ensure that its foundational work in biotechnology continues unabated.

Frequently Asked Questions

Why is Telesis Bio delisting from Nasdaq?

Telesis Bio is voluntarily delisting due to challenges in meeting the minimum stockholder's equity and market value requirements set by Nasdaq.

What will happen to Telesis Bio's stock after delisting?

After delisting, Telesis Bio's stock is expected to be traded on an over-the-counter (OTC) market.

How does delisting affect Telesis Bio's business operations?

While delisting changes the trading environment, Telesis Bio remains focused on its mission of innovation in synthetic biology solutions.

Will Telesis Bio continue to provide updates to investors?

Yes, despite delisting, Telesis will continue to meet its reporting obligations, keeping investors informed about its business activities and developments.

What kind of products does Telesis Bio offer?

Telesis Bio provides advanced tools for DNA and mRNA synthesis, facilitating research and development across precision medicine, drug discovery, and more.

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