Evaxion has already appealed the determination by requesting a hearing on the matter and will seek another 180-day extension to comply with Nasdaq’s equity requirement. The appeal will stay any trading suspension of our American Depositary Shares until completion of the Nasdaq hearing process and expiration of any additional extension period granted by the panel following the hearing. During any additional extension, Evaxion intends to regain compliance and maintain its Nasdaq listing, however no guarantee of such compliance can be given.

Following a deficiency letter from Nasdaq received on May 7, 2024, for failure to maintain stockholders’ equity of at least USD 2.5 million, Evaxion presented a plan to Nasdaq for how to regain compliance and was granted on June 13, 2024, a 180-day extension to comply with the equity requirement. This extension expired on November 4, 2024, prompting the delisting determination as per standard procedure.

“As noted in our third quarter 2024 business update of October 31, 2024, we remain committed to ensuring compliance with the Nasdaq minimum stockholder’s equity requirement and to maintain our listing,” states Evaxion in a press release.

However, the current equity market environment, the geopolitical uncertainties and timing of business development activities have impacted timing for the full required increase in stockholder’s equity.

“We will pursue an increase in stockholder’s equity via a combination of business development income and capital markets activities. However, the current equity market environment, the geopolitical uncertainties and timing of business development activities have impacted timing for the full required increase in stockholder’s equity. We are in constructive dialogue with Nasdaq regarding the process for regaining compliance, though we cannot guarantee compliance or that an extension will be granted,” states the company.