Entero Therapeutics, Inc. announced a 1 for 3 reverse stock split of its common stock.
The reverse stock split aims at regaining compliance with Nasdaq listing requirements.
After the split, the outstanding common stock will be reduced from approximately 4.77 million shares to 1.59 million shares.
Reverse Stock Split
A 1 for 3 reverse stock split will consolidate every 3 shares into 1 share.
Compliance Measure
Implemented to meet Nasdaq listing rule requiring a minimum bid price of $1.00 per share.
CEO Statement
Interim CEO Richard Paolone emphasized the importance of the listing for enhancing shareholder value.
- The reverse stock split is a strategic move to maintain visibility and credibility in the market.
- Reducing outstanding shares can potentially positively impact the stock price.
- Shareholders will not receive fractional shares, but cash in lieu of them.
The reverse stock split by Entero Therapeutics, Inc. reflects the company's commitment to meeting Nasdaq listing requirements and enhancing shareholder value in the long term.