NEW YORK (GenomeWeb) – OpGen announced after the close of the market Wednesday that it will effect a 1-for-25 reverse stock split of its common shares.
The company said that it anticipates its common stock to trade on a split-adjusted basis under ticker symbol "OPGN" at the start of trading on Jan. 19. Also, the warrants to purchase shares of OpGen's common stock issued as part of its initial public offering will trade on a split-adjusted basis under ticker symbol "OPGNW" at the start of trading on the same day.
The reverse stock split is being undertaken to increase OpGen's share price so that the company can continue listing its stock on the Nasdaq. In June, the exchange warned the firm that it did not meet a listing requirement calling for a minimum bid price of $1 per share. Last month, OpGen said it would meet with a Nasdaq panel in an effort to continue listing on the exchange. In May, Nasdaq also warned the firm that it fell short of a listing requirement calling for at least $2.5 million in stockholders' equity.
An oral hearing with the panel is scheduled for Feb. 8.
As a result of the reverse split, the number of OpGen's shares will be reduced to about 2.3 million shares from about 56.5 million shares. The number of shares authorized for issuance by the company will also be reduced, to 50 million from 200 million.
OpGen's shares were down more than 3 percent in early morning trading on Thursday at $.1601.