The South San Francisco-based development stage company, Titan Pharmaceuticals, Inc. (NASDAQ:TTNP) skyrocketed over 2300% to trade at $4.0200 in pre-market session soon after the company reported that it has approved a 1-for-30 reverse stock split of the common stock of the Company by its Board of Directors, effective at 5:00 p.m. On Monday, November 30, 2020 Eastern Time. At a Special Meeting of Stockholders on November 30, 2020, the company’s stockholders approved the reverse stock split. The Company’s stock will start trading on a split-adjusted basis on the Nasdaq Capital Market beginning on the 1 December 2020 market open.
Every 30 shares of the Company’s issued and outstanding common stock would be immediately combined as a result of the reverse split and converted into one issued and outstanding common stock share, equivalent to $0.001 per share. In accordance with the inverse stock split, the Company would not issue any fractional shares. The number of shares will be rounded up to the next maximum number instead. The reverse stock split would not change the common stock’s rights or desires.
There will be approximately 6.6 million shares of common stock issued and outstanding immediately after the reverse split becomes successful. Effective December 1, 2020, the common shares will trade under a new CUSIP number, 888314606, and continue to trade under the symbol ‘TTNP.’ All stock options and warrants of the Company outstanding immediately prior to the reverse stock split have been changed proportionately.
In order to serve as an exchange agent for the reverse stock split, the company has named Continental Stock Transfer & Trust Company as its transfer agent. Stockholders holding shares through a bank, broker or other candidate will automatically have their positions changed to reflect the reverse stock split and will not be forced to take any action in relation to the reverse stock split, subject to the relevant processes of the brokers.