- Catabasis Pharmaceuticals Inc (NASDAQ: CATB) has rolled out a reverse stock consolidation of its common stock at a ratio of 1 to 6. These are the details.
Catabasis Pharmaceuticals Inc (NASDAQ: CATB) has rolled out a common stock split of its common stock at a ratio of 1 to 6, starting yesterday with trading of Catabasis common stock on the Nasdaq Capital Market to start on a -base split adjusted for market opening as of today. The common stock continues to trade on the Nasdaq Capital Market under the ticker symbol “CATB”, although a new CUSIP number (14875P 305) has been assigned.
Catabasis shareholders approved the reverse stock split at the 2021 annual meeting and granted the Catabasis board of directors the power to effect a reverse split.
Following the reverse stock split, all 6 common shares of Catabasis before the reverse split will be combined and reclassified as 1 common share. And no fractional shares will be issued as part of the reverse stock split, and if the stock split results in shareholders owning a fractional share, those shareholders will receive a cash payment instead of that fraction. action.
The reverse stock split will not affect any rights of the ordinary shares of Catabasis. And the stock split will proportionally reduce the number of common shares issuable upon the conversion of the outstanding Series X preferred shares of Catabasis and upon the exercise of its stock options and warrants. outstanding subscription prices, and with a proportional increase in the exercise prices of these stock options and warrants.
Catabasis has selected its transfer agent American Stock Transfer & Trust Company, LLC to act as exchange agent for the reverse stock split. And shareholders holding shares through a bank, broker or other nominee will have their positions automatically adjusted to reflect the reverse stock split and will not be required to take any further action in connection with the share split. subject to specific brokerage processes.
The par value of the Company’s common shares will remain unchanged at $ 0.001 per share following the reverse stock split. And the reverse stock split will not change the authorized number of common shares of the company.
The reverse stock split will reduce the number of issued and outstanding common shares from approximately 76.9 million to approximately 12.8 million and the number of common shares issuable upon conversion of the outstanding shares of the Series X preferred stock company from about 32.5 million to about 5.4 million.
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