NORCROSS,SpectRx, a medical technology company focused on detection, monitoring and treatment solutions for the diabetes and cancer , is appealing a Nasdaq decision to delist the firm for failure to meet listing requirements.
According to SpectRx (Nasdaq: SPRX), Nasdaq said the company fails to meet minimum shareholders’ equity, market cap or net income needed for listing on the SmallCap market.
“We are executing on plans to meet and maintain the minimum listing requirements of the Nasdaq SmallCap market,” said Mark A. Samuels, chairman and chief executive officer of SpectRx, in a statement. “Those plans include the sale of the BiliChek business, accomplished earlier this year, a focus on bringing the SimpleChoice product line to market to generate revenues and profits, an initiative to acquire a strategic partner for our continuous glucose monitor, the effort to separately fund the development of our non-invasive cervical cancer detection technology and other activities.
“While we received $4.0 million in the first cash payment related to the sale of the BiliChek business, we deferred $2.0 million of the gain pending completion of some previously planned engineering work. As a consequence, our shareholder’s equity fell below the minimum $2.5 million required. We expect to complete that work, which will allow us to recognize the $2.0 million gain as well as entitle us to receive an additional $1.0 million in payment before the end of the year,” he added.
Sameuls said further steps were planned to regain compliance with Nasdaq requirements.