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Check-Cap Ltd. Faces Nasdaq Compliance Challenge: Form 6-K Insights

$CHEK
Form 6-K
Filed on: 2024-12-31
Source
Check-Cap Ltd. Faces Nasdaq Compliance Challenge: Form 6-K Insights

Here are the key insights and information extracted from the provided section of the financial report:

  1. Document Type and Filing: This is a Form 6-K filed by Check-Cap Ltd., a foreign private issuer, with the SEC.
  2. Company Information:
  • Name: Check-Cap Ltd.
  • Address: Check-Cap Building, Abba Hushi Avenue, P.O. Box 1271, Isfiya, Mount Carmel, Israel.
  1. Filing Date: The report is dated December 31, 2024.
  2. Compliance Issue:
  • Check-Cap Ltd. received a letter from The Nasdaq Stock Market indicating non-compliance with the minimum bid price requirement of $1 per share (Nasdaq Listing Rule 5550(a)(2)).
  • This non-compliance was based on the company's ordinary shares closing bid price for the 30 consecutive business days from November 8, 2024, to December 20, 2024.
  1. Compliance Period:
  • The company has a compliance period of 180 calendar days (until June 30, 2025) to regain compliance with the minimum bid price requirement.
  • To regain compliance, the company must achieve a closing bid price of at least $1 for a minimum of ten consecutive business days.
  1. Potential Consequences:
  • If the company does not regain compliance by the end of the compliance period, it may be eligible for an additional compliance period of 180 days if it meets other listing requirements.
  • If it appears that the company cannot cure the deficiency, Nasdaq staff will notify the company that its ordinary shares are subject to delisting.
  1. Current Trading Status: The letter does not have an immediate effect on the listing of the company's ordinary shares, which will continue to trade on Nasdaq under the symbol "CHEK" during the compliance period.
  2. Incorporation by Reference: This Form 6-K is incorporated by reference into multiple Registration Statements and Form S-8 filed by Check-Cap Ltd.
  3. Signature: The report is signed by David Lontini, Chairman of the Board.

These insights provide a clear understanding of the current compliance status of Check-Cap Ltd. with Nasdaq, the implications of the situation, and the steps the company must take to maintain its listing.