INOVIO Executes Reverse Stock Split to Align with Nasdaq Standards
INOVIO, a biotechnology entity focused on pioneering DNA medicines for diseases such as HPV-related conditions, cancer, and various infectious diseases, has announced a reverse stock split of its common stock at a ratio of 1-for-12. This corporate maneuver is scheduled to take effect post-market hours on January 24, 2024, with the commencement of adjusted trading slated for the following day. The company’s common stock will persist in its listing on the Nasdaq Capital Market under the ticker symbol “INO,” accompanied by the issuance of a new CUSIP number.
This strategic decision is aimed at fulfilling the Nasdaq Capital Market’s minimum bid price criterion for continued listing. The consolidation will result in every dozen shares of the company’s issued and outstanding common stock being merged into a single share, while retaining the same par value per share. Instead of issuing fractional shares, the company will provide a cash settlement to shareholders who are entitled to fractional shares post-split.
The reverse stock split is set to be implemented uniformly across all shareholders, thereby maintaining their relative ownership stakes in the company, except for minor adjustments due to fractional shares. The total authorized shares will remain at 600,000,000. Corresponding adjustments will be applied to INOVIO’s outstanding stock options and the shares issuable under its equity incentive plans.
Subsequent to the reverse stock split, the total number of issued and outstanding shares of common stock is expected to reduce significantly from approximately 280.1 million to an estimated 23.3 million. The company’s proprietary technology platform is strategically engineered to enhance the design and administration of DNA medicines, which are intended to prompt the body’s intrinsic production of agents to combat diseases.
The company has made forward-looking statements regarding the reverse stock split, anticipating various outcomes including the potential to regain compliance with Nasdaq’s listing prerequisites. These projections also encompass the expected number of shares that will be in circulation after the split and the implications for shareholders and option holders. It is critical to acknowledge that actual outcomes may differ due to various factors, including the unpredictable nature of research, clinical trials, and the commercialization process.
INOVIO maintains a steadfast commitment to its array of DNA medicine products and continues to actively seek funds to propel ongoing research and studies. These efforts aim to validate the safety and efficacy of its electroporation technology, which serves as a mechanism for delivering its DNA-based treatments.
INOVIO’s recent reverse stock split represents a pivotal action in the company’s endeavor to meet Nasdaq’s listing criteria. With a strong emphasis on the development of DNA medicines for a multitude of diseases, the company reaffirms its commitment to healthcare innovation. As the firm advances, it remains focused on the progression of its technology and the continuous pursuit of scientific breakthroughs in the realm of biotechnology.
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