Legend Biotech Corporation (NASDAQ: LEGN) announced on January 6, 2023, that it received a notice from the Listing Qualifications Department of the Nasdaq Stock Market LLC indicating that the company is not currently in compliance with Nasdaq’s Listing Rules. The non-compliance is due to the company’s failure to file an interim balance sheet and income statement for the quarter ended June 30, 2022, on Form 6-K with the Securities and Exchange Commission (SEC).
Listing Rule and Compliance Timeline
Under Nasdaq Listing Rule 5250(c)(2), Legend Biotech was required to file the Form 6-K no later than six months after the end of the quarter, which would have been December 31, 2022. As of the date of the press release, the company has not yet filed the required Form 6-K.
Impact and Next Steps
The notice has no immediate effect on the listing of Legend Biotech’s American Depositary Shares. However, the company has 60 days from the date of the notice, or until March 7, 2023, to submit a proposal to regain compliance with the listing rules. If Nasdaq accepts the company’s proposal, it may grant an extension of up to 180 calendar days from the due date, or until June 29, 2023, to regain compliance.
Future Outlook
Legend Biotech’s receipt of the Nasdaq notice highlights the importance of adhering to regulatory filing requirements. The company’s timely response and submission of a compliance plan will be crucial in maintaining its listing status. This situation underscores the ongoing regulatory scrutiny and the need for companies to ensure timely and accurate financial disclosures.-Fineline Info & Tech
