Entero Therapeutics, Inc. announces a 1 for 3 reverse stock split of its common stock.
The reverse split is aimed at regaining compliance with Nasdaq listing requirements.
The visibility and credibility of a Nasdaq listing are crucial for enhancing shareholder value.
Reverse Stock Split
Every 3 shares will be combined into 1 share, reducing outstanding shares to approximately 1.59 million.
Compliance Efforts
The split is part of a plan to comply with Nasdaq Listing Rule 5550(a)(2) requiring a minimum bid price of $1.00 per share.
CEO's Comment
Richard Paolone sees the split as a necessary step to maintain Nasdaq listing and enhance shareholder value.
- The reverse stock split will make the company's shares trade on a split-adjusted basis on August 18, 2025.
- The split will reduce outstanding common stock from around 4.77 million shares to approximately 1.59 million shares.
The reverse stock split by Entero Therapeutics, Inc. reflects strategic efforts to uphold Nasdaq listing requirements and bolster shareholder value in the biopharmaceutical sector.