Avid Bioservices announces receipt of deficiency notice from Nasdaq

Avid Bioservices announced it received a notice on March 19, 2024 from the Listing Qualifications Department of The Nasdaq Stock Market advising the company that it was not in compliance with Nasdaq’s continued listing requirements under Nasdaq Listing Rule 5250(c)(1) as a result of its failure to file its Quarterly Report on Form 10-Q for the fiscal quarter ended January 31, 2024 in a timely manner. The Rule requires listed companies to timely file all required periodic reports with the Securities and Exchange Commission. The company previously reported in its Form 12b-25 filed with the SEC on March 12, 2024 that the company was unable to file the Form 10-Q within the prescribed time period due to the need to restate and file certain prior period financial statements as a result of the continued classification of the company’s 1.250% Exchangeable Senior Notes due 2026 as long-term liabilities following an event of default, as more fully described in the company’s Current Report on Form 8-K filed with the SEC on March 12, 2024. Under Nasdaq rules, the company has 60 calendar days from the receipt of the Notice, or until May 20, 2024, to submit a plan to regain compliance with the Rule. The company intends to file the Form 10-Q as promptly as reasonably practicable. If the company does not file the Form 10-Q by May 20, 2024, the company intends to timely submit a plan to regain compliance with the Rule.