In a move aimed at reshaping its financial structure, Tenon Medical, a company at the forefront of revolutionizing care for patients afflicted with specific sacroiliac joint disorders, unveiled plans for a 1:10 reverse stock split of its existing common stock. The announcement, made today, triggered a notable downturn in Tenon Medical’s stock value.
At the time of this publication, Tenon Medical Inc stock (TNON) has witnessed a decline.
Tenon Medical Inc
Current Price: $0.10
Change : -0.04
Change (%): (-30.37%)
Volume: 1.1M
Source: Tomorrow Events Market Data
The reverse stock split is slated to take effect at 12:01 AM Eastern Time on November 2, 2023, right before trading commences on the Nasdaq Capital Market. Upon implementation, every 10 shares of the company’s issued and outstanding common stock will be consolidated into a single share. Tenon Medical’s common stock is anticipated to kick off trading on a split-adjusted basis when markets open on November 2, 2023, retaining its current trading symbol “TNON.” The modified CUSIP number for the common stock post-reverse stock split will be 88066N204.
During the annual meeting held on September 13, 2023, Tenon Medical’s shareholders gave their nod of approval for the reverse stock split. The principal objective behind this strategic maneuver is to elevate the per-share market price of the company’s common stock, ensuring it aligns with the mandated minimum average closing price of $1.00 for sustained listing on the Nasdaq Capital Market.
Acting as the designated exchange agent for the reverse stock split is Vstock Transfer, LLC (“Vstock”), Tenon Medical’s transfer agent. Shareholders possessing book-entry shares or those holding their shares through a financial institution, broker, or other intermediary need not take any immediate action. Shareholders of record who have certificates representing pre-split shares of the company’s common stock will receive a letter of transmittal from Vstock, offering instructions on the process of surrendering these certificates. It is crucial for stockholders to refrain from submitting their pre-split certificates until they have received the aforementioned letter of transmittal from Vstock. With the exception of stockholders explicitly requesting a new paper certificate or holding restricted shares, those in possession of pre-split certificates will witness their post-split shares transition to book-entry form. Additionally, they can expect to receive a statement from Vstock detailing their common stock ownership in the aftermath of the reverse stock split.
Tenon Medical’s decision to embark on this reverse stock split marks a strategic maneuver designed to fortify its position in the market and align with regulatory requirements. The company remains poised to navigate this transition and continue its unwavering commitment to transforming care for patients battling sacroiliac joint disorders. Investors and stakeholders alike will be closely monitoring the impact of this move on Tenon Medical’s market performance in the coming days.
