SEATTLE - Aptevo Therapeutics Inc . (NASDAQ:APVO), a clinical-stage biotech company, announced today a reverse stock split of its common stock at a ratio of 1-for-44, to be effective at market open on Tuesday. This corporate action aims to bring the company's stock price above the minimum bid price required by Nasdaq for continued listing.
The reverse stock split will consolidate every 44 shares of Aptevo's issued and outstanding common stock into one share. The company's trading symbol, "APVO", and its public warrants, "APVTW", will remain unchanged post-split. The move follows stockholder approval at a special meeting on February 5, 2024, and subsequent board ratification on February 27, 2024.
Aptevo's outstanding shares will decrease from approximately 23.5 million to around 0.53 million, subject to adjustments for rounding and any additional issuances until the reverse split takes effect on March 5, 2024, at 5:01 p.m. Eastern Time. The par value of the common stock will remain at $0.001 per share, and no change will occur in the authorized number of common or preferred stock.
The reverse split will also proportionately adjust outstanding options, restricted stock units, warrants, and other securities convertible into common stock. Stockholders who would hold a fractional share will receive a cash payment instead of fractional equity.
This strategic move is part of Aptevo's plan to regain compliance with Nasdaq's minimum bid price rule. The company has been facing challenges, as detailed in its forward-looking statements, which include risks such as the ability to continue as a going concern and the need for additional financing.
Aptevo Therapeutics focuses on developing novel bispecific immunotherapies for cancer treatment, aiming to improve patient outcomes.
This article is based on a press release statement.
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