Applied DNA announces 1-for-50 reverse stock split

STONY BROOK, NY - Applied DNA Sciences, Inc. (NASDAQ:APDN), a company specializing in PCR-based DNA technologies, has announced a 1-for-50 reverse stock split of its common stock, set to take effect at the start of trading on Friday, March 14, 2025. The reverse stock split is aimed at complying with Nasdaq’s minimum bid price requirement for continued listing on The Nasdaq Capital Market. The move comes as the company’s stock has declined over 98% in the past year, according to InvestingPro data, with shares currently trading at $0.15.

The company’s common stock will continue trading on Nasdaq under the ticker "APDN" with a new CUSIP number of 03815U 508. Outstanding shares will be reduced from approximately 55.2 million to about 1.1 million, while the total authorized shares will remain unchanged. Proportional adjustments will be made to the company’s stock options, restricted stock units, warrants, equity incentive plans, and other existing agreements. Fractional shares resulting from the split will be rounded up to the nearest whole share, and the par value of the common stock will stay at $0.001 per share. The company’s market capitalization currently stands at approximately $8.1 million, with InvestingPro analysis showing 13 additional key insights available to subscribers.

This corporate action follows the approval by stockholders at the annual meeting on September 30, 2024, allowing the board to amend the certificate of incorporation to effectuate a reverse stock split at a ratio between 1-for-5 and 1-for-50. The board approved the 1-for-50 ratio on March 3, 2025.

Equiniti Trust Company, Applied DNA’s transfer agent, will provide stockholders with information regarding their stock ownership post-split. Those holding shares in book-entry form or through a bank, broker, or other nominee will have their accounts automatically adjusted and should contact their respective institutions for any procedural inquiries.

Applied DNA Sciences develops technologies for the production and detection of DNA using the polymerase chain reaction (PCR) method. The company operates in two business markets: the enzymatic manufacture of synthetic DNA for nucleic acid-based therapeutics and the sale of proprietary RNA polymerase for mRNA therapeutics production, as well as DNA and RNA detection in molecular diagnostics and genetic testing services. Financial data from InvestingPro reveals the company maintains a strong current ratio of 4.72 and holds more cash than debt, though it faces challenges with revenue declining by 58% in the last twelve months and analysts projecting continued losses this year. Detailed analysis and comprehensive research reports are available through InvestingPro’s premium service.

The information for this article is based on a press release statement from Applied DNA Sciences, Inc.

In other recent news, Applied DNA Sciences Inc. reported a significant increase in revenue for the first quarter of fiscal year 2025, rising to $1.2 million from $891,000 the previous year. Despite this growth, the company continues to face financial challenges, with an operating loss of $3 million, improved from a $3.8 million loss in the prior period. The company is focusing on its LinearRx platform, aiming to secure GMP manufacturing contracts, and has launched new products while initiating a clinical trial in AML therapy. Additionally, Applied DNA Sciences encountered a setback as it failed to secure a quorum at its special stockholder meeting, delaying the approval required for the exercisability of private placement warrants related to an October 2024 stock offering. This lack of quorum has necessitated rescheduling the meeting for further stockholder engagement. The company’s strategic restructuring, which included a 20% workforce reduction, reflects efforts to optimize costs and focus on growth areas. Analyst firms have not yet provided updates on their ratings for the company. These developments highlight the ongoing efforts and challenges faced by Applied DNA Sciences in advancing its corporate initiatives.

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