09/18/2026 | Press release | Distributed by Public on 09/18/2026 14:06
| Item 3.01 | Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing. |
As previously disclosed, on March 17, 2026, TELA Bio, Inc. (the "Company") received a letter from the Listing Qualifications Department (the "Staff") of The Nasdaq Stock Market LLC ("Nasdaq") notifying the Company that the listing of its common stock was not in compliance with Nasdaq Listing Rule 5450(a)(1) for continued listing on The Nasdaq Global Market, as the minimum bid price of the Company's common stock was less than $1.00 per share for the previous 30 consecutive business days (the "Minimum Bid Price Requirement"). As the Company did not regain compliance with the Minimum Bid Price Requirement within the 180-calendar day grace period set forth by Nasdaq Listing Rule 5810(c)(3)(A), by September 14, 2026, the Staff notified the Company by letter dated September 15, 2026, that the Company's listed security is subject to delisting from Nasdaq unless the Company timely requests a hearing before a Nasdaq Hearings Panel (the "Panel").
Accordingly, the Company intends to timely request a hearing before the Panel. At such hearing, the Company intends to submit a plan to regain compliance with the Minimum Bid Price Requirement and demonstrate its ability to sustain long term compliance with all applicable continued listing requirements. The hearing request will automatically stay any suspension or delisting of the Company's listed security and, as a result, the Company expects that its common stock will continue to be listed and traded on Nasdaq pending the conclusion of the hearings process.
Pursuant to Nasdaq Listing Rule 5810(c)(3)(H), in order to regain compliance with the Minimum Bid Price Requirement, the closing minimum bid price of the Company's common stock must be at least $1.00 per share for at least 10 consecutive business days and up to 20 consecutive business days, at the Staff's or Panel's discretion. In that regard, on September 14, 2026, the Company filed a proxy statement seeking approval by its stockholders to effect a reverse stock split of the Company's outstanding common stock at a ratio ranging from 1-for-5 and 1-for-15 in order to regain compliance with the Minimum Bid Price Requirement. The special meeting is to be held on October 8, 2026, and the Company cannot assure you such proposal will be approved by the stockholders at the special meeting.