Allarity Therapeutics Receives NASDAQ-Approved Extension to Regain Compliance with Nasdaq Listing Rule 5550(b)(1)

Core Viewpoint - Allarity Therapeutics has been granted an extension until May 14, 2024, to regain compliance with Nasdaq Listing Rule 5550(b)(1), which requires a minimum stockholders' equity of $2,500,000 [1][2]. Group 1: Compliance Efforts - The company presented a strategic plan to the Nasdaq Hearings Panel on February 1, 2024, outlining immediate and long-term strategies to regain compliance with Nasdaq Listing Rules 5550(a)(2) and 5550(b) [1]. - Allarity has implemented a 1-for-20 reverse stock split effective April 9, 2024, to regain bid price compliance [3]. - The company has reduced monthly operational expenditures from over $1 million to $400,000 as part of its cost reduction initiatives [3]. Group 2: Financial Strategies - Allarity is pursuing additional capital through various strategic financing options and has started raising new equity using its existing ATM [3]. - The company is negotiating with key stakeholders, including warrant holders, to adjust terms for future capital raising and to reduce major liabilities [3]. Group 3: Drug Development Focus - Allarity is focused on developing stenoparib, a novel PARP/Tankyrase inhibitor for advanced ovarian cancer patients, utilizing its DRP® companion diagnostic for patient selection in an ongoing phase 2 clinical trial [6]. - The DRP® platform has shown a statistically significant prediction of clinical outcomes in 37 out of 47 clinical studies examined, indicating its potential effectiveness in personalized cancer treatment [5]. Group 4: Leadership Statement - CEO Thomas Jensen expressed encouragement regarding Nasdaq's recognition of the company's efforts and the additional time granted to meet the equity requirement, emphasizing the commitment to regulatory compliance and ongoing development of stenoparib [4].