Boston (April 17, 2024)—Allarity
Therapeutics, Inc. (“Allarity” or the “Company”) (NASDAQ: ALLR), a
clinical-stage pharmaceutical company dedicated to developing
personalized cancer treatments, today announced that it had been
granted an extension until May 14, 2024, to regain compliance with
Nasdaq Listing Rule 5550(b)(1).
On February 1, 2024, Allarity Therapeutics presented a strategic
plan to the Nasdaq Hearings Panel, detailing both immediate and
long-term strategies aimed at regaining compliance with the
requirements outlined in Nasdaq Listing Rules 5550(a)(2) and
5550(b). This comprehensive plan encompassed a series of decisive
steps, including a thorough review and reduction of operating costs
and pursuing additional capital through various strategic financing
options. The plan was crafted to not only meet Nasdaq’s immediate
compliance requirements but also to strengthen the company’s
overall financial position and operational efficiency.
Following a recent presentation on the progress of the plan's
execution to date, Nasdaq issued an extension, granting Allarity
additional time until May 14, 2024, to demonstrate full compliance
with Nasdaq Listing Rule 5550(b)(1), which requires a minimum
stockholders' equity of $2,500,000.
The steps that Allarity has taken to regain compliance with
Nasdaq’s listing requirements include that the Company recently
implemented a 1-for-20 reverse stock split effective April 9, 2024,
aimed at regaining bid price compliance, rule 5550(a)(2). In
parallel, Allarity has been aggressively working to adjust its
financial structure. These efforts include ongoing cost reduction
initiatives, reducing monthly operational expenditures from over $1
million to $400,000. In addition, the company has entered into
negotiations with key stakeholders, including warrant holders, to
adjust the terms and conditions to make future capital raising more
amenable, as well as negotiations to reduce other major
liabilities. Finally, the Company has already started raising new
equity by utilizing its existing ATM and expects to take further
action so Allarity can meet the $2,500,000 equity requirement on
the May 14, 2024 target date.
Thomas Jensen, CEO of Allarity Therapeutics, stated: "We are
encouraged by Nasdaq's recognition of our efforts and the
additional time granted to meet the equity requirement. Our team is
committed to adhering to our plan and ensuring regulatory
compliance. Our goal is to ensure that we can continue our
development of stenoparib, strongly encouraged by the significant
early data we have received so far from our ongoing monotherapy
trial in advanced ovarian cancer."
About the Drug Response Predictor – DRP® Companion
Diagnostic Allarity uses its drug-specific DRP® to select
those patients who, by the expression signature of their cancer,
are found to have a high likelihood of benefiting from a specific
drug. By screening patients before treatment, and only treating
those patients with a sufficiently high, drug-specific DRP score,
the therapeutic benefit rate may be significantly increased. The
DRP method builds on the comparison of sensitive vs. resistant
human cancer cell lines, including transcriptomic information from
cell lines combined with clinical tumor biology filters and prior
clinical trial outcomes. DRP is based on messenger RNA expression
profiles from patient biopsies. The DRP® platform has proven its
ability to provide a statistically significant prediction of the
clinical outcome from drug treatment in cancer patients in 37 out
of 47 clinical studies that were examined (both retrospective and
prospective). The DRP platform, which can be used in all cancer
types and is patented for more than 70 anti-cancer drugs, has been
extensively published in the peer-reviewed literature.
About Allarity TherapeuticsAllarity
Therapeutics, Inc. (NASDAQ: ALLR) is a clinical-stage
biopharmaceutical company dedicated to developing personalized
cancer treatments. The Company is focused on development of
stenoparib, a novel PARP/Tankyrase inhibitor for advanced ovarian
cancer patients, using its DRP® companion diagnostic for patient
selection in the ongoing phase 2 clinical trial, NCT03878849.
Allarity is headquartered in the U.S., with a research facility in
Denmark, and is committed to addressing significant unmet medical
needs in cancer treatment. For more information, visit
www.allarity.com.
Follow Allarity on Social MediaLinkedIn:
https://www.linkedin.com/company/allaritytx/X:
https://twitter.com/allaritytx
Forward-Looking Statements This press release
contains “forward-looking statements” within the meaning of the
Private Securities Litigation Reform Act of 1995. Forward-looking
statements provide the Company’s current expectations or forecasts
of future events. The words “anticipates,” “believe,” “continue,”
“could,” “estimate,” “expect,” “intends,” “may,” “might,” “plan,”
“possible,” “potential,” “predicts,” “project,” “should,” “would”
and similar expressions may identify forward-looking statements,
but the absence of these words does not mean that a statement is
not forward-looking. These forward-looking statements include, but
are not limited to, statements regarding the timing of the Reverse
Stock Split and Allarity’s ability to regain compliance with the
Nasdaq minimum bid price requirement and minimum equity
requirement. Any forward-looking statements in this press release
are based on management’s current expectations of future events and
are subject to multiple risks and uncertainties that could cause
actual results to differ materially and adversely from those set
forth in or implied by such forward-looking statements. These risks
and uncertainties include, but are not limited to, Allarity’s
ability to regain compliance with the minimum bid price requirement
and maintain its listing on Nasdaq, the trading price of Allarity’s
shares of common stock may be volatile and other risks inherent in
Allarity’s business, including, the risk that the Company is not
able to raise sufficient capital to support its current and
anticipated clinical trials, the risk that early results of a
clinical study do not necessarily predict final results and that
one or more of the clinical outcomes may materially change
following more comprehensive reviews of the data, and as more
patient data become available, the risk that results of a clinical
study are subject to interpretation and additional analyses may be
needed and/or may contradict such results, the receipt of
regulatory approval for stenoparib or any of our other therapeutic
candidates and companion diagnostics or, if approved, the
successful commercialization of such products, the risk of
cessation or delay of any of the ongoing or planned clinical trials
and/or our development of our product candidates, the risk that the
results of previously conducted studies will not be repeated or
observed in ongoing or future studies involving our therapeutic
candidates, and the risk that the current COVID-19 pandemic will
impact the Company’s current and future clinical trials and the
timing of the Company’s preclinical studies and other operations.
For a discussion of other risks and uncertainties, and other
important factors, any of which could cause our actual results to
differ from those contained in the forward-looking statements, see
the section entitled “Risk Factors” in our Form S-1 registration
statement filed on April 8, 2024, as amended and our Form 10-K
annual report on file with the Securities and Exchange Commission
(the “SEC”), available at the SEC’s website at www.sec.gov, and as
well as discussions of potential risks, uncertainties and other
important factors in the Company’s subsequent filings with the SEC.
All information in this press release is as of the date of the
release, and the Company undertakes no duty to update this
information unless required by law.
###
Company Contact:
investorrelations@allarity.com
Media
Contact: Thomas
Pedersen Carrotize
PR &
Communications +45
6062 9390 tsp@carrotize.com
- Allarity Therapeutics - Press Release - Extension to May 14
2024
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