ISELIN, N.J., Nov. 13 /PRNewswire-FirstCall/ -- Pharmos Corporation today announced that it received notice from The Nasdaq Stock Market (“Nasdaq”) on November 11, 2008 that the Company is not in compliance with Nasdaq Marketplace Rule 4310(c)(3), which requires the Company to have a minimum of $2,500,000 in stockholders’ equity or $35,000,000 market value of listed securities or $500,000 of net income from continuing operations for the most recently completed fiscal year or two of the three most recently completed fiscal years. At September 30, 2008, the Company’s stockholders’ equity was $1,315,698, and the market value of its listed securities was $4,193,646. The Company has had net losses from its continuing operations for the three most recently completed fiscal years.
As previously disclosed, the Company is also currently not in compliance with Nasdaq Marketplace Rule 4310(c)(4), which requires that the minimum bid price per share of the Company’s common stock shall be $1.
Under these circumstances, Nasdaq is reviewing the Company’s eligibility for continued listing on the Nasdaq Capital Market. In order to facilitate this review, the Company intends to provide to Nasdaq, on or before November 26, 2008, the Company’s specific plan to achieve and sustain compliance with all of The Nasdaq Capital Market listing requirements, including the time frame for completion of the plan.
About Pharmos Corporation
Pharmos discovers and develops novel therapeutics to treat a range of indications including specific diseases of the nervous system such as disorders of the brain-gut axis (GUIBS), pain/inflammation, and autoimmune disorders. The Company’s lead product in development, dextofisopam, is undergoing Phase 2b testing in IBS patients. Dextofisopam has completed a Phase 2a IBS study in which it demonstrated a statistically significant effect compared to placebo on the primary efficacy endpoint of adequate relief (n=141, p=0.033). The Company also has a proprietary technology platform focusing on discovery and development of synthetic cannabinoid compounds with a focus on CB2 receptor selective agonists. Various CB2-selective compounds from Pharmos’ pipeline have completed preclinical studies targeting pain, multiple sclerosis, rheumatoid arthritis, inflammatory bowel disease and other disorders. Pharmos is also working to commercialize its proprietary NanoEmulsion drug delivery system, which is in clinical-stage development for topical application of analgesic and anti-inflammatory agents.
Safe Harbor Statement
Statements made in this press release related to the business outlook and future financial performance of Pharmos, to the prospective market penetration of its drug products, to the development and commercialization of its pipeline products and to its expectations in connection with any future event, condition, performance or other matter, are forward-looking and are made pursuant to the safe harbor provisions of the Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties that may cause results to differ materially from those set forth in these statements. Additional economic, competitive, governmental, technological, marketing and other factors identified in Pharmos’ filings with the Securities and Exchange Commission could affect such results.
CONTACT: S. Colin Neill, President and CFO of Pharmos Corporation,
+1-732-452-9556
Web site: http://www.pharmoscorp.com/
