Shares of CASI Pharmaceuticals Inc (NASDAQ:CASI) plunged 56.7% on Wednesday following the company's disclosure that it received a determination letter from a Nasdaq Hearings Panel ordering delisting of its securities.
The panel dated the determination letter February 23, 2026, citing CASI's failure to meet Nasdaq's continued listing requirements. The company said trading in its securities will be suspended at the open of business on February 26, 2026, and that the shares will be delisted after completion of the applicable processes. CASI also stated it does not intend to seek a review of the panel's decision.
In anticipation of delisting, CASI said it expects its ordinary shares may be quoted on the over-the-counter market run by OTC Markets Group Inc., which could provide a venue for continued trading. The company cautioned, however, that there is no assurance a broker will continue to make a market in the ordinary shares or that trading will persist on an OTC market.
CASI is a clinical-stage biopharmaceutical firm developing CID-103, an anti-CD38 monoclonal antibody aimed at treating patients with organ transplant rejection and certain autoimmune diseases. The company said the Nasdaq determination will not have a material effect on its operations.
Delisting from a major exchange typically reduces a company's visibility and trading liquidity, as over-the-counter markets often feature lower volumes and different disclosure practices compared with Nasdaq. The company noted these broader market implications while outlining its expected next steps.
The timing and procedures described by CASI reflect the formal steps Nasdaq follows when a company fails to satisfy continued listing conditions, with an initial suspension of trading followed by removal from the exchange once processes are completed. CASI's decision not to request a review means the company is not pursuing further administrative challenge to the panel's determination.
Context and implications
CASI's announcement and the resulting market reaction highlight the immediate market consequences when a listed company faces delisting proceedings. While the company projects an operational continuity, investors will likely face reduced liquidity and potential challenges in buying or selling shares if market-making by brokers ceases on an OTC venue.