PRINCETON, N.J. - Soligenix, Inc. (NASDAQ: NASDAQ:SNGX), a biopharmaceutical company specializing in rare diseases, has declared a reverse stock split of its common stock at a ratio of 1 post-split share for every 16 pre-split shares. The adjustment is set to take effect at the market's close on Wednesday, June 5, 2024, with trading on a split-adjusted basis commencing on Thursday, June 6, 2024, under the existing ticker symbol SNGX.
The decision followed a stockholders' meeting where the Board of Directors was granted the authority to implement the reverse stock split. This corporate action will reduce the number of outstanding shares of Soligenix's common stock from approximately 15.8 million to around 987,490 shares, with adjustments made for rounding of fractional shares. Stockholders will not need to exchange their existing stock certificates unless they choose to do so.
The reverse stock split is designed to affect all shareholders uniformly and will not alter any shareholder's percentage interest in the company's equity, except for minor adjustments due to the elimination of fractional shares. Proportional adjustments will also be made to the company's equity awards and warrants.
Soligenix has emphasized that the reverse stock split will not change the par value of its shares. Shareholders with stock held in brokerage accounts will see their holdings automatically adjusted to reflect the reverse split. For any questions, shareholders holding physical stock certificates can reach out to the company's transfer agent, Equiniti Trust Company.
This move comes as Soligenix continues to advance its product pipeline, including therapies for cutaneous T-cell lymphoma and other rare diseases, as well as vaccine candidates for various infectious diseases. The company has been supported by government funding for some of its public health projects.
The information for this article is based on a press release statement from Soligenix, Inc.
InvestingPro Insights
In light of Soligenix's recent announcement regarding a reverse stock split, it's important for investors to consider the company's current financial health and market performance. According to real-time data from InvestingPro, Soligenix holds a market capitalization of $4.98 million USD, indicating its size within the biopharmaceutical industry.
With a Price / Book ratio of 6.49 as of the last twelve months, the company is trading at a higher multiple compared to its book value, which could suggest that the market has expectations of future growth or that the stock is overvalued.
However, this financial outlook comes with certain challenges. InvestingPro Tips highlight that analysts do not anticipate Soligenix to be profitable this year, and the company has not been profitable over the last twelve months. Moreover, the company's stock has experienced a significant decline over the last three months, with a -51.99% price total return, and over the last six months, with a -64.29% price total return. This performance reflects a downward trend that investors should be aware of.
For those considering a deeper dive into Soligenix's financials and future prospects, there are additional InvestingPro Tips available. With a total of 10 tips, investors can gain more comprehensive insights into the company's position. To access these tips and enhance your investment strategy, visit https://www.investing.com/pro/SNGX and remember to use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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