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Altamira Therapeutics faces Nasdaq delisting over share price

Published 10/05/2024, 04:10 AM
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HAMILTON, Bermuda - Altamira Therapeutics Ltd. (NASDAQ:CYTO) is currently facing a potential delisting from the Nasdaq Stock Market due to non-compliance with the minimum bid price requirement. The biopharmaceutical company, specializing in RNA delivery technologies, disclosed on September 30, 2024, that it had received a notification from Nasdaq's Listing Qualifications Department indicating its share price had fallen below the $1.00 minimum bid over the past 30 consecutive business days, spanning from August 16, 2024, to September 27, 2024.

Due to previous reverse stock splits, which cumulatively exceeded a 250-to-1 ratio within the last two years, Altamira is not eligible for an automatic cure period to rectify the bid price deficiency. The company has announced its intention to appeal this decision and request a hearing, which will delay any suspension or delisting action until a ruling is made by the hearing panel. However, there is no guarantee that the panel will permit Altamira to maintain its listing or that an extension will be granted.

Altamira Therapeutics, founded in 2003 and headquartered in Bermuda with operations in Basel, Switzerland, focuses on developing peptide-based nanoparticle technologies for efficient RNA delivery to tissues outside the liver. Its current preclinical development includes two flagship siRNA programs targeting KRAS-driven cancer and rheumatoid arthritis. Additionally, the company is seeking partnerships or divestments for its legacy assets in inner ear treatments and holds a significant stake in Altamira Medica AG, which markets Bentrio®, a nasal spray for allergic rhinitis.

The information in this article is based on a press release statement from Altamira Therapeutics Ltd.

In other recent news, Altamira Therapeutics and its associate company, Altamira Medica, have made significant strides in their respective sectors. Altamira Medica recently obtained an extension to its ISO 13485 certification, a globally recognized benchmark for quality management systems in the medical device industry. This extension, which now includes the production process, validates Altamira Medica's commitment to maintaining high standards in the design, development, production, and distribution of its Bentrio nasal spray.

On a related note, Altamira Therapeutics has reported considerable progress in its RNA delivery technologies. During its first-half 2024 earnings call, the company highlighted advancements in cancer and rheumatoid arthritis treatments through their OligoPhore and SemaPhore platforms. As part of its strategic shift towards RNA delivery technologies, Altamira is preparing for FDA investigational new drug approval submissions for its AM-401 and AM-411 programs by 2026.

In terms of financials, Altamira raised $4 million in a public offering, with an additional $8 million possible through future milestones. The company reported a reduced net loss from the previous year, indicating a shift towards a less capital-intensive business model. Despite bearing a net loss of $4.3 million for the first half of 2024, the firm's restructuring efforts and expansion of distribution agreements for Bentrio suggest potential for significant revenue growth. These developments underscore Altamira's ongoing commitment to innovation and financial stability.

InvestingPro Insights

The recent notification from Nasdaq regarding Altamira Therapeutics Ltd.'s (NASDAQ:CYTO) potential delisting aligns with several key metrics and trends identified by InvestingPro.

According to InvestingPro data, CYTO's stock price has experienced significant declines across multiple timeframes. The 6-month price total return stands at -70.81%, while the 1-year return is an alarming -85.81%. These figures underscore the severity of the company's share price decline, which has led to the current delisting risk.

InvestingPro Tips highlight that the stock has "taken a big hit over the last week" and has "fared poorly over the last month," with a 1-month price total return of -31.92%. This recent performance exacerbates the company's challenges in meeting Nasdaq's minimum bid price requirement.

The company's financial health also raises concerns. An InvestingPro Tip indicates that Altamira "suffers from weak gross profit margins" and is "not profitable over the last twelve months." This is reflected in the adjusted operating income of -$6.85 million for the last twelve months as of Q2 2024. Additionally, analysts do not anticipate the company will be profitable this year, which may further complicate efforts to maintain its listing status.

Despite these challenges, it's worth noting that the stock's price-to-book ratio stands at 0.33, suggesting it may be undervalued relative to its book value. However, this should be considered in the context of the company's overall financial performance and market position.

For investors seeking a more comprehensive analysis, InvestingPro offers 16 additional tips for CYTO, providing a deeper understanding of the company's financial situation and market dynamics.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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