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BioPharmX Announces Reverse Stock Split
SAN JOSE, Calif., April 15, 2019 /PRNewswire/ -- BioPharmX Corporation (NYSE American: BPMX) (the "Company"), a specialty pharmaceutical company focused on developing innovative medical dermatology products, today announced that its Board of Directors has approved a reverse stock split of its common stock at a ratio of 1-for-25. The reverse stock split will become effective on April 25, 2019 (the "Effective Date"), and the shares will begin trading on the split-adjusted basis on the NYSE American under the Company's existing trading symbol "BPMX" at market open on April 26, 2019. The new CUSIP number following the reverse stock split will be 09072X 309.
As a result of the reverse stock split, every 25 shares of the Company's issued and outstanding common stock will automatically combine into one issued and outstanding share of common stock. The reverse stock split will affect all stockholders uniformly and will not alter any stockholder's percentage ownership interest in the Company. Proportionate voting rights and other rights of common stock holders will not be affected by the reverse stock split. The reverse stock split will also apply to common stock issuable upon the exercise of the Company's outstanding stock options and warrants. The number of authorized shares of common stock and par value of common stock will remain unchanged.
The reverse stock split is primarily being effected to regain compliance with certain NYSE American continued listing standards related to the low price per share of the Company's common stock. It was initially approved by the Company's stockholders at the Company's annual stockholder meeting held on August 14, 2018 at a ratio of between 1-for-2 and 1-for-25. On April 15, 2019, the Company's Board of Directors approved the reverse stock split at the ratio of 1-for-25 and the effective date of April 25, 2019.
No fractional shares will be issued as a result of the reverse stock split; stockholders who would otherwise hold a fractional share of the Company's common stock will receive cash in an amount equal to the product obtained by multiplying (i) the closing sale price of the common stock on the Effective Date of the reverse stock split as reported on NYSE American, by (ii) the number of shares of the common stock held by the stockholder that would otherwise have been exchanged for the fractional share interest.
The Company's transfer agent, Computershare, will act as the exchange agent for the reverse stock split and will provide instructions to stockholders of record regarding the process for exchanging shares. Stockholders who hold their shares in brokerage accounts or "street name" are not required to take action to effect the exchange of their shares and their positions will be automatically adjusted pursuant to the broker's particular process.
Additional information about the reverse stock split and stockholder approval can be found in the Company's Definitive Proxy Statement filed with the Securities and Exchange Commission (the "SEC") on July 6, 2018, and in the Company's Current Report on Form 8-K filed with the SEC on August 17, 2018, each of which is available on the SEC's website, www.sec.gov, and the Company's website, www.BioPharmX.com.
About BioPharmX® Corporation
BioPharmX Corporation (NYSE American: BPMX) is a specialty pharmaceutical company developing prescription products through its proprietary HyantX™ Topical Delivery System for dermatology indications. To learn more about BioPharmX, visit www.BioPharmX.com.
The information in this press release contains forward-looking statements and information within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are subject to the "safe harbor" created by those sections. This press release contains forward-looking statements about the Company's expectations, plans, intentions, and strategies, including, but not limited to, the Company's ability to regain and maintain compliance with NYSE continued listing requirements and execute a reverse stock split. Additional risks are set forth in our filings with the Securities and Exchange Commission, including those described in the Company's Annual Report on Form 10-K for the fiscal year ended January 31, 2019. The forward-looking statements included in this press release are made only as of the date hereof, and the Company undertakes no obligation to publicly update such statements.
BioPharmX and HyantX are registered trademarks of BioPharmX, Inc.
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SOURCE BioPharmX Corporation