A 1-for-50 reverse stock split of its outstanding and authorised common stock will be implemented by Kintara Therapeutics, Inc. (Nasdaq: KTRA), a biopharmaceutical company focused on the development of new solid tumour cancer therapies, as of 5:00 p.m. (EST) on November 11, 2022.

The Nasdaq Capital Market will continue to list Kintara’s common stock under the ticker “KTRA” and a new CUSIP number, 49720K200. On November 14, 2022, when the market opens, Kintara’s common stock will start trading on The Nasdaq Capital Market on a reverse stock split-adjusted basis.

In order to continue being listed on The Nasdaq Capital Market, Kintara’s common stock must trade at a minimum bid price of $1.00 per share, which will be met by the reverse stock split (Nasdaq Listing Rule 5550(a)(2)). Every fifty pre-split shares of common stock that are currently outstanding and authorised will be automatically combined into one new share of common stock as a result of the reverse stock split without any action on the part of the stockholders. There will be around 1,616,146 issued and outstanding shares of common stock as opposed to the 80,807,316 that were issued and outstanding as of November 8, 2022. There will be a drop in the authorised shares of common stock from 275,000,000 to 5,500,000.

In connection with the reverse stock split, no fractional shares will be distributed. No stockholders will receive cash in lieu of fractional shares as a result of the reverse stock split; rather, any fractional shares of common stock will be rounded up to the nearest whole post-split share. The outstanding warrants, restricted stock units, and stock options of Kintara will also be subject to the reverse stock split, with the conversion and exercise prices thereof being adjusted in accordance with the terms of those securities. The reverse stock split will also apply to common stock issuable upon the conversion of Kintara’s outstanding preferred stock.

Source: Prnewswire