Dermata Therapeutics to implement 1-for-10 reverse stock split on August 1

Published 30/07/2025, 16:18
Dermata Therapeutics to implement 1-for-10 reverse stock split on August 1

Dermata Therapeutics , Inc. (NASDAQ:DRMA), a micro-cap pharmaceutical company with a market capitalization of $4.5 million, will carry out a 1-for-10 reverse stock split of its common stock, effective at 12:01 a.m. Eastern Time on August 1. The company, currently trading at $0.63 per share, announced the move Wednesday in a statement based on a filing with the Securities and Exchange Commission.

The reverse stock split will reduce the number of issued and outstanding shares of Dermata’s common stock by converting every ten shares into one share. The par value and the authorized number of shares will remain unchanged. The company said that no fractional shares will be issued; shareholders entitled to fractional shares will receive a proportional cash payment instead.

Dermata’s common stock is expected to begin trading on a split-adjusted basis on the Nasdaq Capital Market when markets open on August 1, pending exchange approval. The CUSIP number for the common stock will change to 249845504.

The reverse stock split will affect all shareholders uniformly and will not change any shareholder’s percentage ownership in Dermata, except for adjustments related to fractional shares. The company also noted that all outstanding securities convertible into or exercisable for shares of common stock, including options and warrants, will be adjusted to reflect the split as required.

The decision to implement the reverse stock split follows authorization from Dermata’s board of directors and approval by shareholders at the company’s annual meeting on July 15, allowing the board to select a split ratio within a specified range.

Dermata Therapeutics is incorporated in Delaware and is classified under pharmaceutical preparations. This information is based on a press release statement and the company’s SEC filing.

In other recent news, Dermata Therapeutics announced the commencement of drug production for its Phase 3 STAR-2 trial for XYNGARI™, with the trial set to begin in the fourth quarter of 2025. The company anticipates topline results in the first half of 2027 and plans to use the data to support a New Drug Application submission to the FDA. Additionally, Dermata Therapeutics received an extension from a Nasdaq panel to comply with the exchange’s minimum bid price requirement, giving the company until August 14, 2025, to meet the $1.00 per share threshold. This extension follows a notice indicating non-compliance due to the stock closing below the required price for 30 consecutive business days.

In corporate governance news, shareholders approved all proposals at Dermata’s 2025 Annual Meeting, including the election of Mary Fisher and Andrew Sandler M.D. as Class I directors. The directors will serve three-year terms. Meanwhile, Maxim Group adjusted its price target for Dermata Therapeutics to $3.00, down from $6.00, while maintaining a Buy rating. This adjustment was based on Dermata’s financial disclosures and clinical trial updates. Dermata’s recent 10-Q filing showed first-quarter operating expenses below expectations and a GAAP loss per share that aligned with estimates.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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