Motif Bio Announces Receipt of Deficiency Notice from Nasdaq

Motif Bio plc (AIM/Nasdaq: MTFB), a clinical-stage biopharmaceutical company specialising in developing novel antibiotics, today announced that it has received a deficiency notice from Nasdaq indicating that, based upon a review of Motif Bio’s Market Value of Listed Securities (MVLS) for the last 30 consecutive business days, the Company no longer meets the minimum MVLS standard for continued listing on the Nasdaq Capital Market as set forth in Nasdaq Marketplace Rule 5550(b)(2), which requires the Company to have a minimum MVLS of $35 million.

The Nasdaq notification letter has no immediate effect on the listing or trading of the Company’s American Depository Shares (ADSs) on the Nasdaq Capital Market. Per Nasdaq’s regulations, Motif Bio will have until January 14, 2020, or 180 calendar days from the date of the notice, to regain compliance with the exchange’s continued listing standard. If Motif Bio does not regain compliance with the rule by January 14, 2020, Nasdaq will provide notice that Motif Bio’s ADSs will be delisted from the Nasdaq Capital Market. At that time, Motif Bio may appeal the delisting determination.

The Company will seek to regain compliance within the cure period and is considering appropriate business measures to address compliance with the continued listing standards of the Nasdaq Stock Market. Motif Bio also acknowledges that it does not currently meet Nasdaq Listing Rule 5550(a)(2) for continued listing on The Nasdaq Capital Market, which requires listed securities to maintain a minimum bid price (MBP) of $1.00. Based on the closing bid price of the Company’s ADSs over recent weeks, the Company anticipates it is likely to receive a deficiency notice from Nasdaq pursuant to Rule 5550(a)(2) shortly. Upon receipt, Motif Bio will make an announcement to this effect.

Dr. Graham Lumsden, Chief Executive Officer, said: “This action by Nasdaq is not uncommon for publicly traded biopharmaceutical companies that have had clinical or regulatory setbacks that negatively impact stock price. Motif Bio is working diligently to regain compliance by creating additional shareholder value through advancing the development of iclaprim as well as strategic pipeline expansion as outlined in our previous communications.”

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