Precipio announces 1-for-20 reverse stock split

Precipio announced that it has implemented a 1-for-20 reverse stock split of outstanding shares of the company’s common stock in order to regain compliance with the Nasdaq minimum bid price requirement of $1.00. The primary goal of the reverse stock split is to increase the per share market price of the company’s common stock to meet the minimum per share bid price requirement for continued listing on The Nasdaq Capital Market. Many individual investors, and some institutional investors, are prohibited from trading shares of companies below $2, and some are prohibited from trading shares below $5. The post-reverse stock split share price should enable the company to broaden its potential pool of investors to include both individual and institutional investors who face such restrictions. This is expected to increase demand for the stock. “I understand the disappointment many of our shareholders feel, and the negative sentiment attached to the reverse stock split. I urge you to look at our company performance as measured by revenues, margins and cash, and you will see a good story developing”, said Ilan Danieli, CEO. The reverse stock split will become effective at 5:00 p.m. Eastern Time on September 21, 2023, after close of trading on The Nasdaq Capital Market.