Minrad International, Inc. has received a notice from NYSE Alternext US LLC (NYSE) stating that the exchange intends to strike the common stock of the company from the exchange by filing a delisting application with the Securities and Exchange Commission (SEC) pursuant to Section 1009(d) of the NYSE company guide. Minrad International is an interventional pain management company based in US.
Earlier, the exchange had notified Minrad International that it was not in compliance with certain provision of the exchange’s company guide, namely Section 1003(a)(i), with stockholders’ equity of less than $2,000,000 and losses from continuing operations and net losses in two out of its three most recent fiscal years; 1003(a)(ii), with stockholders’ equity of less than $4,000,000 and losses from continuing operations and net losses in three out of its four most recent fiscal years; 1003(a)(iii), with stockholders’ equity of less than $6,000,000 and losses from continuing operations and net losses in its five most recent fiscal years; and 1003(a)(iv) in that it has sustained losses which are so substantial in relation to its overall operations or its existing financial resources, or its financial condition has become so impaired that it appears questionable, in the opinion of the exchange, as to whether it will be able to continue operations and/or meet its obligations as they mature.
Minrad International in its letter dated December 26, 2008 notified the staff that it had entered into a definitive merger agreement with Piramal Healthcare, Inc., Piramal Healthcare Limited and Mayflower Acquisition Corp. for the acquisition of the company and requested that the exchange continue to list the company’s stock until consummation of that merger, at which time the company would voluntarily delist. NYSE has notified the company that this response did not constitute a plan of how it intends to regain compliance with the exchanges listing standards and that therefore, there is no basis for the exchange to provide a listing extension. The exchange advised the company it is therefore subject to immediate delisting proceedings. Minrad International plans to exercise its right to request an oral hearing to review with the exchange its determination. There can be no assurance that the company’s request for continued listing will be granted.