VANCOUVER, Jan. 2, 2018 /CNW/ - Neovasc Inc.
("Neovasc" or the "Company") (NASDAQ, TSX:NVCN)
announced today that it has received written notification (the
"Notification Letter") from The Nasdaq Stock Market LLC ("Nasdaq")
notifying the Company that it is not in compliance with the minimum
bid price requirement set forth in Nasdaq Rules for continued
listing on the Nasdaq Capital Market. Nasdaq Listing Rule
5550(a)(2) requires listed securities to maintain a minimum bid
price of US $1.00 per share, and
Listing Rule 5810(c)(3)(A) provides that a failure to meet the
minimum bid price requirement exists if the deficiency continues
for a period of 30 consecutive business days. Based on the closing
bid price of the Company's common stock for the 30 consecutive
business days from November 14, 2017,
the Company no longer meets the minimum bid price requirement.
The Notification Letter does not impact the Company's listing on
the Nasdaq Capital Market at this time. In accordance with Nasdaq
Listing Rule 5810(c)(3)(A), the Company has been provided 180
calendar days, or until July 2, 2018, to regain compliance with
Nasdaq Listing Rule 5550(a)(2). To regain compliance, the Company's
common shares must have a closing bid price of at least US $1.00
for a minimum of 10 consecutive business days. In the event the
Company does not regain compliance by July 2, 2018, the Company may
be eligible for additional time to regain compliance.
The Company intends to monitor the closing bid price of its
common shares between now and July 2,
2018 and intends to cure the deficiency within the
prescribed grace period. During this time, the Company's common
shares will continue to be listed and trade on the Nasdaq Capital
Market.
The Company's business operations are not affected by the
receipt of the Notification Letter.
The Company is also listed on the TSX and the Notification
Letter does not affect the Company's compliance status with such
listing.
About Neovasc Inc.
Neovasc is a specialty medical device company that develops,
manufactures and markets products for the rapidly growing
cardiovascular marketplace. Its products include the Reducer,
for the treatment of refractory angina which is not currently
available in the United States and
has been available in Europe since
2015 and the Tiara, for the transcatheter treatment of mitral valve
disease, which is currently under investigation in the United States, Canada and Europe. The Company also sells a line of
advanced biological tissue products that are used as key components
in third-party medical products including transcatheter heart
valves. For more information, visit: www.neovasc.com.
This news release contains forward-looking statements within
the meaning of the U.S. Private Securities Litigation Reform Act of
1995 and applicable Canadian securities laws regarding the
Company's plans to cure the Nasdaq minimum bid deficiency within
the prescribed grace period. Words and phrases such as
"intends", "continue" and "will", and similar words or
expressions, are intended to identify these forward-looking
statements. Forward-looking statements are based on estimates
and assumptions made by the Company in light of its experience and
its perception of historical trends, current conditions and
expected future developments, as well as other factors that the
Company believes are appropriate in the circumstances. Many
factors and assumptions could cause the Company's actual results,
performance or achievements to differ materially from those
expressed or implied by the forward-looking statements, including,
without limitation, the substantial doubt about the Company's
ability to continue as a going concern; risks relating to the
Company's need for significant additional future capital and the
Company's ability to raise additional funding; risks relating to
the Warrants and Notes, offered pursuant to the November 2017 public offering of units and
private placement of senior secured convertible notes and warrants
(the "Financings"), resulting in significant dilution to the
Company's shareholders; risks relating to the possibility that the
Company's Common Shares may be delisted from the Nasdaq Capital
Market or the Toronto Stock Exchange, which could affect their
market price and liquidity; risks relating to it being more
expensive for the Company to raise capital in the future and
dilution to investors; risks relating to the Company's Common Share
price being volatile; risks relating to the sale of a significant
number of Common Shares; risks relating to the restrictions on the
Company entering into certain transactions; risks relating to the
exercise of Warrants or conversion of Notes offered pursuant to the
Financings, which may encourage short sales by third parties; risks
relating to claims by third parties alleging infringement of their
intellectual property rights; the Company's ability to establish,
maintain and defend intellectual property rights in the Company's
products; risks relating to results from clinical trials of the
Company's products, which may be unfavorable or perceived as
unfavorable; the Company's history of losses and significant
accumulated deficit; risks associated with product liability
claims, insurance and recalls; risks relating to competition in the
medical device industry, including the risk that one or more
competitors may develop more effective or more affordable products;
risks relating to the Company's ability to achieve or maintain
expected levels of market acceptance for the Company's products, as
well as the Company's ability to successfully build the Company's
in-house sales capabilities or secure third-party marketing or
distribution partners; the Company's ability to convince public
payors and hospitals to include the Company's products on their
approved products lists; risks relating to new legislation, new
regulatory requirements and the efforts of governmental and third
party payors to contain or reduce the costs of healthcare; risks
relating to increased regulation, enforcement and inspections of
participants in the medical device industry, including frequent
government investigations into marketing and other business
practices; risks associated with the extensive regulation of the
Company's products and trials by governmental authorities, as well
as the cost and time delays associated therewith; risks associated
with post-market regulation of the Company's products; health and
safety risks associated with the Company's products and the
Company's industry; risks associated with the Company's
manufacturing operations, including the regulation of the Company's
manufacturing processes by governmental authorities and the
availability of two critical components of the Reducer; risk of
animal disease associated with the use of the Company's products;
risks relating to the manufacturing capacity of third-party
manufacturers for the Company's products, including risks of supply
interruptions impacting the Company's ability to manufacture its
own products; risks relating to breaches of anti-bribery laws by
the Company's employees or agents; risks associated with future
changes in financial accounting standards and new accounting
pronouncements; risks relating to the Company's dependence upon key
personnel to achieve the Company's business objectives; the
Company's ability to maintain strong relationships with physicians;
risks relating to the sufficiency of the Company's management
systems and resources in periods of significant growth; risks
associated with consolidation in the health care industry,
including the downward pressure on product pricing and the growing
need to be selected by larger customers in order to make sales to
their members or participants; the Company's ability to
successfully identify and complete corporate transactions on
favorable terms or achieve anticipated synergies relating to any
acquisitions or alliances; anti-takeover provisions in the
Company's constating documents which could discourage a third party
from making a takeover bid beneficial to the Company's
shareholders; risks relating to conflicts of interests among the
Company's officers and directors as a result of their involvement
with other issuers; and risks relating to the influence of
significant shareholders of the Company over the Company's business
operations and share price. These risk factors and others relating
to the Company are discussed in greater detail in the "Risk
Factors" sections of the Company's Annual Information Form and
Management's Discussion and Analysis of Financial Condition and
Results of Operations, each of which is included in its Annual
Report on Form 40-F, and the Company's Management Discussion and
Analysis for the third quarter of 2017 (copies of which filings may
be obtained
at at www.sedar.com or www.sec.gov).
These factors should be considered carefully, and readers should
not place undue reliance on the Company's forward-looking
statements. The Company has no intention and undertakes no
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise,
except as required by
law.
SOURCE Neovasc Inc.