(RTTNews) - Sonnet BioTherapeutics Holdings Inc. (SONN) will implement a 1-for-22 reverse stock split of its outstanding common stock at the commencement of trading today. In premarket trading today, the stock is up over 2,300% at $4.80.
The reverse stock split is meant to ensure that Sonnet's common stock meets the $1.00 minimum bid price requirement for continued listing on the Nasdaq Capital Market.
According to the company, the reverse stock split will decrease the total count of common stock shares in circulation to roughly 1.8 million from about 38.5 million.
The company's lead drug candidate is SON-080, which is under an ex-U.S. Phase 1b/2a study in chemotherapy-induced peripheral neuropathy. The Data and Safety Monitoring Board (DSMB) overseeing the study is expected to meet during the third calendar quarter of 2023. The initial safety data from the CIPN study is expected to be released upon completion of the DSMB review.
As of June 30, 2023, Sonnet had $7.0 million cash on hand.
SONN closed yesterday's trading at $0.20, down 28.34%.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
