NEW YORK (GenomeWeb) – BG Medicine said on Wednesday that it has effected a one-for-four reverse stock split to remain listed on the Nasdaq.
The reverse split increases the share price of the company's stock above the minimum $1 bid price to continue listing on the Nasdaq Capital Market. The firm's shares opened at $1.61 per share today after closing at $.43 per share on Wednesday. In early morning trading, the stock rose to $2 per share.
The stock split reduced the number of BG Medicine's common shares outstanding to about 8.6 million shares from about 34.6 million shares.
The Waltham, Massachusetts-based company was warned by Nasdaq in September that it was not in compliance with the $1 minimum bid requirement and could face delisting action. BG Medicine was also warned by Nasdaq in November that it was not in compliance with a listing requirement calling for a minimum $2.5 million in stockholders' equity to continue listing on the exchange.