MEMPHIS, Tenn.--(EON: Enhanced Online News)--GTx, Inc. (Nasdaq: GTXI) today announced a reverse stock split of its shares of common stock at a ratio of one-for-ten. The reverse stock split will be effective at 5:00 p.m. Eastern Time on December 5, 2016. At the opening of trading on December 6, 2016, GTx’s common stock will begin trading on a split-adjusted basis and the number of shares of GTx’s common stock outstanding will decrease from approximately 159.2 million pre-split shares to approximately 15.9 million post-split shares.
The primary purpose of the reverse stock split is to enable GTx to regain compliance with the $1.00 minimum bid price requirement for continued listing on The NASDAQ Capital Market. As previously disclosed, GTx has until December 19, 2016 in order to regain compliance with the minimum bid price requirement and had previously submitted written notice to NASDAQ of its intention to cure the minimum bid price deficiency by effecting a reverse stock split. In order to regain compliance, the closing bid price of GTx’s common stock must be at least $1.00 for a minimum of ten (10) consecutive trading days.
GTx’s common stock will continue to trade on The NASDAQ Capital Market under the symbol “GTXI” although it is expected that the letter “D” will be appended to the ticker symbol for approximately twenty (20) trading days to indicate the completion of the reverse stock split. In addition, GTx’s common stock will trade under a new CUSIP number 40052B207 following the reverse stock split.
In the reverse stock split, every ten (10) shares of GTx’s common stock outstanding will automatically be combined and reclassified into one (1) new share of common stock. Holders of common stock that would otherwise receive a fractional share of common stock pursuant to the reverse stock split will receive cash in lieu of the fractional share. The reverse stock split will affect all GTx stockholders uniformly and will not affect any stockholder’s percentage ownership interests in GTx (except to the extent that the reverse stock split results in any stockholders owning only a fractional share). Additionally, all GTx equity awards and warrants outstanding immediately prior to the reverse stock split will be proportionately adjusted.
Stockholders who hold their shares in electronic form at a brokerage firm need not take action as the shares will automatically be adjusted to reflect the reverse stock split. Beneficial holders may contact their bank, broker or nominee for more information. Stockholders holding physical certificates may (but are not required to) send their certificates to GTx’s transfer agent at the address given below for reissuance in post-split form. GTx’s transfer agent, Computershare Trust Company, will act as the exchange agent for this reverse stock split and will issue a new stock certificate reflecting the terms of the reverse stock split to each stockholder who submits a physical stock certificate with instructions for reissuance.
Computershare Trust Company, N.A.
250 Royall Street
Canton, MA 02021
877-282-1168 or 781-575-2723 (outside US and Canada)
Additional information regarding the reverse stock split can be found in GTx’s definitive proxy statement (Form DEF 14A), filed with the SEC on March 28, 2016, and posted in the "Investors" section of GTx’s website at www.gtxinc.com.
GTx, Inc., headquartered in Memphis, Tenn., is a biopharmaceutical company dedicated to the discovery, development and commercialization of small molecules for the treatment of cancer, including treatments for breast and prostate cancer, and other serious medical conditions.