DelistingMay 22, 2026, 05:32 PM
Tempest Therapeutics receives Nasdaq delisting notice for equity, director rules
AI Summary
Tempest Therapeutics, Inc. received a deficiency letter from Nasdaq for failing to meet the minimum stockholders' equity requirement, reporting $822,000 against a $2,500,000 threshold as of March 31, 2026. The company also does not meet alternative listing standards. Additionally, due to recent director resignations, Tempest is non-compliant with Nasdaq's independent director, audit committee, compensation committee, and nominating and corporate governance committee requirements. The company has 45 days to submit compliance plans for both issues, with no immediate effect on its Nasdaq listing, but no assurance of regaining compliance.
Key Highlights
- Tempest Therapeutics received a Nasdaq deficiency letter for not meeting the $2,500,000 minimum stockholders' equity requirement.
- The company's stockholders' equity was reported at $822,000 as of March 31, 2026.
- Tempest also failed to meet alternative listing standards, including a $35 million market value of listed securities.
- The company notified Nasdaq of non-compliance with independent director, audit, compensation, and nominating committee requirements.
- This non-compliance resulted from the resignations of Mr. Michael Raab and Ms. Christine Pellizzari from the Board.
- Tempest has 45 calendar days, until July 6, 2026, to submit a plan to regain compliance for stockholders' equity.
- The company is required to submit a compliance plan for the independent director matters within 45 calendar days.
- Tempest is not eligible for the standard cure period due to multiple board and committee vacancies.
Price Impact
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