Athenex stock is in danger of being delisted – again

Less than three months after the company avoided a potential delisting by conducting a 1-for-20 reverse stock split, Athenex again has been warned by the Nasdaq Stock Market that its shares could be delisted by Oct. 24 unless the market value of its shares increases.

The Nasdaq requires that the total value of a listed company’s stock be at least $15 million – a threshold that Athenex has fallen below. All of its shares currently are worth a combined $11.5 million as its stock has plunged from a split-adjusted $261 per share at the beginning of 2021 to slightly more than $1.30 per share on Monday.

To maintain its listing, Athenex’s shares would have to trade at around $1.89 per share – high enough to give it a market capitalization of more than $15 million for at least 10 consecutive business days during the next six months, according to a filing with the Securities and Exchange Commission.

The delisting threat is another serious challenge to Athenex, which has been battered by failures in clinical trials of key drug candidates and is in danger of defaulting on borrowings from its major lender. The company was down to $36 million in cash at the end of 2022 after posting losses that totaled more than $250 million during the past two years.