Acutus Medical has been delisted from the Nasdaq Capital Market, according a recent filing with the U.S. Securities and Exchange Commission.
The delisting and 8-K filing follows a series of notifications from the Nasdaq Stock market regarding the cardiovascular device company’s non-compliance with listing requirements.
Acutus Medical previously faced Nasdaq delisting in November 2022. It received a warning that it failed to maintain a minimum bid price of $1 per share for 30 consecutive business days. It was given 180 calendar days to regain compliance to continue trading on the Nasdaq Stock Market. It did not reach compliance in that time and was moved to the Nasdaq Capital Market.
Acutus Medical received a notice from the Nasdaq Listing Qualifications Staff on Apr. 30 that indicated a failure to meet the minimum bid price requirement. Nasdaq requires a $1.00 minimum closing bid price, but Acutus’ common stock was listed at $0.001 per share. The company also reported that it was found to be in violation of Listing Rule 5550(b) because of its failure to maintain stockholders’ equity of at least $2.5 million.
Because of the violations, Acutus Medical suspended trading on the Nasdaq Capital Market today. With the delisting, Acutus Medical’s common stock will be traded on the OTC Pink Sheets. The company said it plans to continue facilitating trading opportunities and establishing more relationships with market makers.
The company will not request an appeal, signaling an acceptance of the delisting following news of recent layoffs.
Acutus Medical announced in November that it would lay off 65% of its workforce as part of a major restructuring.
Restructuring would involve winding down Acutus Medical’s EP mapping and ablation business, including the AcQMap mapping system, the AcQMap 3D mapping catheter, the AcQBlate force-sensing ablation catheter, the AcGuide Max 2.0 steerable sheath, and associated accessories. (The company said it will support AcQMap procedures with a small group of therapy managers through Nov. 30.)
Acutus Medical’s main remaining focus is manufacturing left-heart access products for Medtronic. It sold its left-heart access portfolio to Medtronic for $50 million last year, and has brought in tens of millions of dollars worth of milestone payments from the deal since then. Under the deal, it’s due 100% of total net end-user sales in year one, 75% of total net end-user sales in year two, and 50% in years three and four.