INOVIO Undertakes Reverse Stock Split to Align with Nasdaq Standards
INOVIO, a pioneer in the biotechnology sector with a focus on DNA-based therapies, has recently announced a pivotal modification to its stock configuration. The company is set to execute a 1-for-12 reverse stock split of its outstanding common stock shares, scheduled to take effect at 5:00 p.m. Eastern Time on January 24, 2024. This initiative is poised to see the company’s common stock commence trading on a split-adjusted basis at the opening of the market on January 25, 2024.
INOVIO implemented a reverse stock split to comply with Nasdaq Capital Market’s minimum bid price requirement for continued listing. The split consolidated every 12 shares of common stock into a single share while preserving the par value per share. The company will not distribute fractional shares. Shareholders entitled to a fractional share will receive a cash payment instead. Only minor adjustments for fractional shares will be made. The reverse stock split aims to treat all shareholders equally, protecting their proportional interests in the company.
Subsequent to the reverse stock split, the total number of issued and outstanding shares of common stock is anticipated to reduce from approximately 280.1 million to an estimated 23.3 million. Nonetheless, the number of authorized shares will remain static at 600,000,000. Corresponding adjustments are also expected to be made to the company’s outstanding stock options and the number of shares that are issuable under its equity incentive plans.
INOVIO’s proprietary technology platform is engineered to enhance the design and administration of DNA medicines that prompt the body to generate its own therapeutic agents. The company’s product pipeline is a direct result of its extensive research and development in electroporation technology, which serves as a delivery method.
The reverse stock split is projected to influence various aspects of the company’s operations. It will recalibrate the number of shares outstanding and also alter the exercise or conversion prices of INOVIO’s outstanding stock options. Changes will also be reflected in the number of shares of common stock that are issuable under the company’s equity incentive plans.
INOVIO has issued forward-looking statements concerning the reverse stock split, including its anticipated impact on the company’s ability to satisfy Nasdaq’s listing criteria and the projected number of shares to be in circulation after the split. These statements are contingent upon current expectations and are subject to a multitude of factors and uncertainties that could lead to a divergence in actual outcomes.
INOVIO implemented a reverse stock split to comply with Nasdaq’s listing requirements. The company remains committed to advancing DNA medicines and adjusted its stock structure to meet regulatory demands. The changes to the stock and equity plans were carefully crafted to maintain stakeholder interests and ensure a consistent impact. The company is committed to advancing DNA medicine technology and addressing critical medical issues. The company’s focus remains unwavering as it moves forward.
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