Pieris Pharmaceuticals (NASDAQ:PIRS) has announced a reverse stock split of its common stock at a ratio of 1-for-80, set to take effect at the close of business on April 22, 2024. The adjustment aims to elevate the company's per share bid price to comply with Nasdaq's minimum bid price requirement.
The biotechnology firm's board of directors approved the reverse split in an effort to boost the bid price of its common stock above the $1.00 threshold, a move designed to align the company with Nasdaq Listing Rule 5550(a)(2).
Pieris Pharma's common stock will trade on the Nasdaq Capital Market on a reverse split-adjusted basis under its current trading symbol, 'PIRS,' starting from the market open on April 23, 2024.
To regain compliance with the Nasdaq listing standards, the company's common stock must maintain a trading price of at least $1.00 for a minimum of 10 consecutive trading days. Following this period and upon meeting the requirement, Nasdaq will confirm Pieris Pharma's compliance status.
Alongside the reverse stock split, there will be a change in the CUSIP number associated with Pieris Pharma's common stock, which will become 720795202 following the effective date of the reverse split.
This strategic decision is a common measure taken by companies aiming to satisfy exchange listing requirements and improve the marketability of their stock. Shareholders of Pieris Pharma will see their share count adjusted accordingly, though the company's market capitalization will remain unaffected by this action.
The information provided here is based on a press release statement from Pieris Pharmaceuticals regarding its SEC filing.
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