Titan Medical (Nasdaq: TMDI; TSX: TMD) said today that it will hold a virtual shareholders meeting on Jan. 12, 2023 to seek approval for a share consolidation plan.
The surgical robotics company described share consolidation as the last option to regain compliance with Nasdaq’s $1 a share minimum bid price requirement and retain its listing.
Titan Medical has until Dec. 26 to demonstrate that TMDI shares can trade over $1 apiece for at least 10 consecutive business days. After that, TMDI shares are subject to a delisting after Titan Medical exhausts its appeals process.
TMDI shares were down more than 2% to 44¢ apiece in morning trading today.
“We believe that a consolidation is in the best interests of shareholders, including for the purposes of regaining compliance with Nasdaq listing requirements,” CEO Cary G. Vance said in a news release.
“A continued Nasdaq listing provides numerous benefits to the company, including increased visibility of the company amongst U.S. analysts and investors, increased access to capital including potentially institutional investors, and the potential for greater trading volume and liquidity for the company’s common shares. We look forward to providing additional details of the special meeting.”
(Vance recently spoke with MassDevice about the company’s Enos robotic surgery platform, its partnership with Medtronic, supply chain silver linings and more. MassDevice included Titan Medical in its roundup of surgical robotics companies you need to know.)
Titan Medical reports progress on Enos system
Vance also outlined how Titan Medical is progressing with its Enos robotic surgery system. Enos includes a light, camera and multiple arms that drive instruments by the tableside. Instead of multiple arms coming from multiple directions and through multiple incisions, Enos’ arms, instruments and camera snake out and enter the patient’s body through a single 25 mm insertion tube.
“Titan is completing the final steps prior to the anticipated delivery of the first Enos system to its Chapel Hill facility before year-end 2022. We are excited and ready to commence verification, validation and safety testing on the delivered unit in support of the planned IDE submission to the FDA in 2023,” Vance said.
Following submission, Titan Medical officials plan to finalize the company’s clinical trial design and continue U.S. commercialization strategy planning.
“We have worked closely with our manufacturing partners in an effort to circumvent supply chain disruptions and are excited about our progress to date at this stage of the production cycle,” Vance said.
As of Sept. 30, 2022, Titan had cash and cash equivalents of $11.6 million, down from $32.3 million at the end of last year. It spent $7.6 million on R&D in its Q3, down from $10.7 billion during Q3 2021.