SEATTLE - Know Labs, Inc. (NYSE American: KNW), a developer of non-invasive diagnostics technology with a current market capitalization of $24.1 million, has been granted an extension by NYSE American LLC to regain compliance with the exchange's listing standards. The company received an Acceptance Letter on Monday, allowing it until March 27, 2026, to meet the necessary criteria.
The NYSE American's decision to extend the compliance period comes after Know Labs submitted a plan outlining its strategy to align with Sections 1003(a)(i), (ii), and (iii) of the NYSE American Company Guide. According to InvestingPro data, the company faces significant financial challenges with a weak overall health score and rapidly depleting cash reserves. The exchange will conduct periodic reviews during this period to assess the company's progress.
Know Labs' common stock will continue to trade on the NYSE American throughout this time, contingent on adherence to other listing requirements. The stock has experienced significant pressure, declining over 72% in the past six months. The Acceptance Letter does not impact Know Labs' current business operations or its SEC reporting obligations.Get deeper insights into Know Labs' financial health and access exclusive analysis with InvestingPro, which offers comprehensive research reports for over 1,400 US stocks.
The company's technology uses spectroscopy to identify molecular signatures, potentially offering non-invasive alternatives to traditional lab-based tests. Their anticipated first product is a non-invasive glucose monitor, pending FDA clearance.
This news comes amid forward-looking statements in the press release, cautioning investors about potential risks and the fact that actual results may differ from projections. These statements are subject to factors beyond the company's control, as detailed in their filings with the SEC.
The information in this article is based on a press release statement from Know Labs, Inc.
In other recent news, Know Labs, Inc. reported a Q3 net loss of $4.1 million for fiscal year 2024, an improvement from the previous year. The company also raised $1.655 million in a financing round, with Boustead Securities, LLC and The Benchmark Company, LLC serving as advisors. Know Labs has made significant changes in its leadership, appointing John Cronin as Interim Chief Technology Officer and Dominic Klyve, Ph.D., as Chief Science Officer.
The company's stockholders approved an increase in authorized shares of common stock from 200 million to 300 million and the amendment of the 2021 Equity Incentive Plan, expanding the number of shares available for issuance to 40 million. These changes aim to provide the company with greater flexibility for future corporate needs and align the interests of its employees and directors with those of its stockholders.
Know Labs extended the maturity date of its debt from September 30, 2024, to September 30, 2025, and increased the interest rate on these notes from 6% to 8%. The company has been notified of non-compliance with NYSE American continued listing standards due to reported losses over recent fiscal years and is required to submit a compliance plan.
Know Labs continues to make progress with its non-invasive glucose monitor, KnowU, which is currently in clinical trials and awaiting FDA clearance. These recent developments reflect Know Labs' ongoing efforts to manage its financial challenges while working towards enhancing shareholder value and corporate visibility.
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