Clinical-stage biopharmaceutical company, Tonix Pharmaceuticals Holding Corp (NASDAQ:TNXP), announced that it will effect a 1-for-32 reverse stock split of its outstanding common stock, on May 16, 2022.
Trading Data
On Monday, TNXP stock slumped 31.36% to $0.0904 with more than 104.06 million shares, compared to its average volume of 31.04 million shares. The stock moved within a range of $0.0881 – 0.1337 after opening trade at $0.1337.
The reverse stock split has already been approved by the Board of Directors of Tonix in accordance with Nevada law. Legally, no stockholder approval is required. The reverse stock split is expected to increase the per share trading price of Tonix’s common stock to satisfy the $1.00 minimum bid price requirement for continued listing on The NASDAQ Capital Market.
Fractional shares of common stock resulting from the reverse stock split will be rounded up to the nearest whole post-split share. No cash will be given to shareholders in lieu of fractional shares.
Common stock of the company will continue trading on the NASDAQ Capital Market under the symbol TNXP and under a new CUSIP number, 890260862. Due to the reverse stock split, every thirty-two pre-split shares of common stock outstanding will become one share of common stock. It will proportionately reduce the number of shares of authorized common stock from 1,600 million to 50 million shares. It also applies to common stock issuable upon the exercise of Tonix’s outstanding warrants and stock options.
VStock Transfer LLC, Tonix’s transfer agent, and also the exchange agent for the reverse split, will provide instructions to shareholders regarding the process for exchanging share certificates.
Technical Data
TNXP stock is trading below the 20-Day and 50-Day Moving averages of $0.1445 and $0.1898 respectively. Moreover, the stock is trading below 200-Day moving average of $0.4024.
