On Friday April 26, 2024 STRATA Skin Sciences Announced It Will Effect A 1-For-10 Reverse Stock Split, Common Stock Will Begin Trading On Nasdaq On A Split-Adjusted Basis When The Market Opens On June 7, 2024
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STRATA Skin Sciences, Inc. (SSKN) announced a 1-for-10 reverse stock split effective June 6, 2024, with trading on a split-adjusted basis starting June 7, 2024. This move aims to comply with Nasdaq's minimum bid price requirement. Shareholders had approved a reverse split ratio range between 1-for-5 and 1-for-25 on October 26, 2023. The reverse stock split will proportionately adjust outstanding equity-based awards and other equity rights, with no fractional shares issued. Stockholders will receive cash for any fractional shares based on the pre-split closing price. The reverse stock split affects all stockholders uniformly without altering their percentage interest in the company.
April 29, 2024 | 4:02 pm
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STRATA Skin Sciences, Inc. (SSKN) will undergo a 1-for-10 reverse stock split to comply with Nasdaq's minimum bid price requirement, effective June 6, 2024, with adjusted trading starting June 7. This action aims to maintain its listing on Nasdaq.
The reverse stock split is a strategic move to ensure compliance with Nasdaq's listing requirements, specifically the minimum bid price rule. While reverse splits can be viewed negatively due to the implication of underperformance, in this case, it's a procedural step to maintain the listing and may not have a significant negative impact on investor sentiment in the short term. The adjustment of equity-based awards and the handling of fractional shares are standard practices in reverse splits, minimizing disruption for shareholders.
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