Full Press Release Details
Resolves Temporary Non-Compliance with Nasdaq's Audit Committee
VICTORIA, British Columbia--(BUSINESS WIRE)--July 12, 2017--Aurinia
Pharmaceuticals Inc. (NASDAQ:AUPH / TSX:AUP) ("Aurinia" or the
"Company") today announced the receipt of a letter from The NASDAQ Stock
Market LLC, regarding the Company's recent temporary failure to comply
with the Nasdaq's audit committee composition requirement under Rule
5605(c)(2)(A), which requires among other things, that each member of a
company's audit committee meet the criteria for independence set forth
Rule 10A-3(b)(1) under the U.S. Securities Exchange Act of 1934, as
amended. On May 8, 2017, the Board of Directors mistakenly appointed the
Company's Chief Executive Officer, Dr. Richard Glickman, to the audit
committee in response to the resignation of a Board member from the
Board of Directors. Pursuant to Canadian securities laws, there is an
exemption from the independence requirements for the composition of a
company's audit committee in response to a resignation of one of the
members of the audit committee. However, as Dr. Glickman is an executive
officer he does not meet the criteria for independence set forth in Rule
10A-3(b)(1), and is not eligible to sit on the audit committee under
NASDAQ rules. As a result, for a period of 44 days the Company was not
in compliance with NASDAQ Rule 5605(c)(2)(A).
On June 21, 2017, following the Company's Annual General Meeting of
Shareholders and prior to being contacted by The NASDAQ Stock Market
LLC, the Board of Directors reconstituted the audit committee, so that
Dr. Glickman was no longer a member of the audit committee and therefore
the Company regained compliance with NASDAQ Rule 5605(c)(2)(A). The
Company has been advised by The NASDAQ Stock Market LLC, that it
considers this matter closed.
Aurinia is a clinical stage
biopharmaceutical company focused on developing and commercializing
therapies to treat targeted patient populations that are suffering from
serious diseases with a high unmet medical need. The company is
currently developing voclosporin, an investigational drug, for the
treatment of LN. The company is headquartered in Victoria, BC and
focuses its development efforts globally. www.auriniapharma.com
Aurinia Pharmaceuticals Inc.
Vice President, Public Affairs