Adagio Medical Gets Nasdaq Deficiency Letter Over Negative Equity

What happened

Adagio Medical Holdings, Inc. (Nasdaq: ADGM), a Laguna Hills, California-based medical device company, disclosed in a Form 8-K filed August 14, 2026 that it received a deficiency letter from the Listing Qualifications Department of the Nasdaq Stock Market on August 13, 2026.

According to the filing, the letter states the company is not in compliance with Nasdaq Listing Rule 5550(b)(1), which requires companies on the Nasdaq Capital Market to maintain stockholders' equity of at least $2,500,000.

The company's Quarterly Report on Form 10-Q for the period ended June 30, 2026, filed August 11, 2026, reported stockholders' equity of negative $415,000, according to the 8-K.

The filing also says that as of the date of the report, the company does not meet either of the alternative continued-listing standards on the Nasdaq Capital Market: market value of listed securities of $35 million, or net income from continued operations of $500,000 in the most recently completed fiscal year or in two of the last three completed fiscal years.

Adagio Medical's common stock, par value $0.0001 per share, is registered under Section 12(b) of the Securities Exchange Act of 1934 and trades on Nasdaq under the symbol ADGM.

The stock closed at $0.605 on August 14, 2026, down 0.49% from the prior close of $0.608, according to price data.

The compliance timeline

The filing states the notification has no immediate effect on the company's continued listing on the Nasdaq Capital Market, subject to compliance with other continued listing requirements.

Under Nasdaq rules, the company has 45 calendar days, or until September 28, 2026, to submit a plan to regain compliance.

If the Staff accepts that plan, it may grant an extension of up to 180 calendar days from the date of the Staff notification to regain compliance with the stockholders' equity requirement.

If the Staff does not accept the plan, the filing says the Staff will notify the company in writing that the plan was rejected, at which point the company may appeal the determination to a Nasdaq Hearings Panel.

The company said it intends to submit the compliance plan on or before September 28, 2026, monitor its stockholders' equity, and evaluate further available options to regain compliance.

What this means

A Form 8-K is a current report that a US public company files with the SEC when certain specified events occur between its quarterly and annual reports. Item 3.01 of the form covers a notice of delisting or a failure to satisfy a continued listing rule, which is what Adagio Medical reported here.

"Stockholders' equity" is the accounting measure of what is left for shareholders after subtracting total liabilities from total assets. $2.5 million is the floor Nasdaq sets for companies listed on its Capital Market tier under Rule 5550(b)(1). A negative figure of $415,000 means the company's liabilities exceeded its assets on the June 30, 2026 balance sheet date.

Nasdaq's continued listing standards operate as alternatives: a company can satisfy the equity test, or instead meet a market value of listed securities of $35 million, or a net income test of $500,000. Per the filing, Adagio Medical does not currently meet any of the three.

A deficiency letter is a notification, not a delisting. It starts a documented process — a plan within 45 days, a possible 180-day extension, and an appeal path — which the filing describes step by step. The company's own risk disclosure flags whether it can regain compliance, whether it can obtain an additional compliance period, and whether it will need additional financing to keep operating, but the filing does not state what specific steps, if any, the company will take beyond submitting the plan.

Adagio Medical describes itself in SEC filings as a medical device company; the filing does not include detail on its product pipeline or current operations. Its report notes it is an emerging growth company, a status that allows certain scaled disclosure and extended transition periods for new accounting standards.