Scorpius Holdings Announces Reverse Stock Split
Scorpius Holdings (NYSE American: SCPX) has announced a 1-for-20 reverse stock split of its common stock, effective January 21, 2025. The decision aims to maintain compliance with NYSE American requirements by increasing the stock's selling price. The split was approved at a Special Meeting of Stockholders on January 16, 2025, where shareholders authorized a ratio range of 1-for-5 to 1-for-35.
The company's stock will continue trading under the symbol 'SCPX' but with a new CUSIP number 42237K607. Stockholders' ownership percentages will remain unchanged except for fractional shares, which will be settled in cash based on the average closing price over the ten days before the split's effective date.
Scorpius Holdings (NYSE American: SCPX) ha annunciato un raggruppamento azionario inverso 1- per-20 delle sue azioni ordinarie, efficace dal 21 gennaio 2025. La decisione mira a mantenere la conformità con i requisiti della NYSE American aumentando il prezzo di vendita delle azioni. Il raggruppamento è stato approvato in un'Assemblea Speciale degli Azionisti il 16 gennaio 2025, dove gli azionisti hanno autorizzato un intervallo di ratio da 1-per-5 a 1-per-35.
Le azioni della società continueranno a essere negoziate con il simbolo 'SCPX', ma con un nuovo numero CUSIP 42237K607. Le percentuali di proprietà degli azionisti rimarranno invariate, eccetto per le azioni frazionarie, che saranno liquidate in contante sulla base del prezzo di chiusura medio nei dieci giorni precedenti alla data di efficacia del raggruppamento.
Scorpius Holdings (NYSE American: SCPX) ha anunciado un división de acciones inversa de 1 por 20 de sus acciones ordinarias, que será efectiva el 21 de enero de 2025. La decisión tiene como objetivo mantener el cumplimiento de los requisitos de NYSE American aumentando el precio de venta de las acciones. La división fue aprobada en una Reunión Especial de Accionistas el 16 de enero de 2025, donde los accionistas autorizaron un rango de ratios de 1 por 5 a 1 por 35.
Las acciones de la compañía seguirán cotizando bajo el símbolo 'SCPX', pero con un nuevo número CUSIP 42237K607. Los porcentajes de propiedad de los accionistas permanecerán sin cambios, excepto por las acciones fraccionarias, que serán liquidadas en efectivo en base al precio promedio de cierre durante los diez días anteriores a la fecha de efectividad de la división.
Scorpius Holdings (NYSE American: SCPX)는 1대 20 비율의 자사주 매입을 2025년 1월 21일부터 시행한다고 발표했습니다. 이 결정은 자산의 판매 가격을 높여 NYSE American 요구 사항을 준수하기 위한 것입니다. 이 매입은 2025년 1월 16일 주주 특별 회의에서 승인되었으며, 주주들은 1대 5에서 1대 35의 비율 범위를 승인했습니다.
회사의 주식은 'SCPX' 기호 아래 계속 거래되지만, 새로운 CUSIP 번호 42237K607로 명시됩니다. 주주들의 소유 비율은 변경되지 않지만, 분할 주식은 분할 유효일 이전 10일 동안의 평균 종가를 기준으로 현금으로 정산됩니다.
Scorpius Holdings (NYSE American: SCPX) a annoncé un rachat d'actions inversé de 1 pour 20 de ses actions ordinaires, effectif à partir du 21 janvier 2025. Cette décision vise à respecter les exigences de la NYSE American en augmentant le prix de vente des actions. Le rachat a été approuvé lors d'une Assemblée Générale Extraordinaire des Actionnaires le 16 janvier 2025, où les actionnaires ont autorisé un rapport allant de 1 pour 5 à 1 pour 35.
Les actions de l'entreprise continueront à être cotées sous le symbole 'SCPX', mais avec un nouveau numéro CUSIP 42237K607. Les pourcentages de propriété des actionnaires resteront inchangés, sauf pour les actions fractionnaires, qui seront réglées en espèces sur la base du prix de clôture moyen des dix jours précédant la date d'entrée en vigueur du rachat.
Scorpius Holdings (NYSE American: SCPX) hat einen 1-für-20 Aktiensplit seiner Stammaktien angekündigt, der am 21. Januar 2025 wirksam wird. Die Entscheidung soll die Einhaltung der Anforderungen von NYSE American sicherstellen, indem der Verkaufspreis der Aktien erhöht wird. Der Split wurde in einer Sonderaktionärsversammlung am 16. Januar 2025 genehmigt, in der die Aktionäre ein Verhältnis von 1-für-5 bis 1-für-35 autorisierten.
Die Aktien des Unternehmens werden weiterhin unter dem Symbol 'SCPX' gehandelt, jedoch mit einer neuen CUSIP-Nummer 42237K607. Die Eigentumsanteile der Aktionäre bleiben unverändert, außer bei Bruchstücken, die auf der Grundlage des durchschnittlichen Schlusskurses der zehn Tage vor dem Wirksamkeitsdatum des Splits in bar ausgeglichen werden.
- Maintains NYSE American listing compliance through reverse split action
- Implementation of reverse stock split indicates struggling share price
- Potential cash outflow for fractional share settlements
Insights
The 1-for-20 reverse stock split is a critical defensive move by Scorpius Holdings to maintain its NYSE American listing compliance. This action will artificially boost the stock price by reducing the number of outstanding shares, though the company's market capitalization remains unchanged. The timing suggests SCPX's share price has likely fallen below the NYSE American's minimum price requirement of
The mechanics of this corporate action are particularly notable - stockholders will receive 1 share for every 20 shares currently held, with cash payments for fractional shares based on a 10-day average closing price. While this doesn't fundamentally change the company's financial position or enterprise value, it could impact trading dynamics through reduced float and potentially higher volatility.
For retail investors, this maneuver often signals underlying business challenges. CDMOs typically implement reverse splits when organic share price appreciation through business performance hasn't materialized. The wide range initially proposed (1-for-5 to 1-for-35) and ultimate selection of 1-for-20 suggests significant price support is needed, raising concerns about the company's near-term prospects and market confidence.
A deeper examination of Scorpius's market position reveals concerning patterns. With a market cap of
Trading dynamics will shift significantly post-split. Historical patterns show that companies executing reverse splits often face increased short-term selling pressure as investors interpret this as a red flag. The decision to settle fractional shares in cash could force small retail investors out of positions, potentially creating temporary price instability.
The January 21 implementation date gives the market minimal adjustment time, which could lead to elevated volatility in the immediate post-split period. While the NYSE American listing preservation is important for maintaining institutional investor access, the rapid execution timeline suggests urgency in addressing listing compliance issues.
DURHAM, N.C., Jan. 16, 2025 (GLOBE NEWSWIRE) -- Scorpius Holdings, Inc (NYSE American: SCPX) (“Scorpius” or “the Company”), an integrated contract development and manufacturing organization (“CDMO”), today announced that the Company’s Board of Directors approved a 1-for-20 reverse stock split (the “Reverse Stock Split”) of the Company’s common stock (the “Common Stock”), to increase the selling price of the Company’s Common Stock in order to maintain compliance with the requirements and policies of the NYSE American.
The Reverse Stock Split will take legal effect at 12:01 A.M. Eastern Time on January 21, 2025, and the Company's Common Stock will open for trading on the NYSE American on January 21, 2025, on a post-split basis, under the existing ticker symbol "SCPX" but with a new CUSIP number 42237K607.
At Scorpius’ Special Meeting of Stockholders (the “Special Meeting”) held on January 16, 2025, the Company’s stockholders approved a proposal to amend the Company’s certificate of incorporation to effect a reverse stock split of its Common Stock at a ratio of between 1-for-5 to 1-for-35, with the ratio within such range to be determined at the discretion of the Company’s Board. Following the Special Meeting, the Board approved a final split ratio of 1-for-20. Following the Reverse Stock Split, the ownership percentage of each stockholder will remain unchanged, other than with respect to fractional shares. No fractional shares will be issued in connection with the Reverse Stock Split. In lieu of fractional shares, any person who would otherwise be entitled to a fractional share of Common Stock as a result of the Reverse Stock Split will receive a cash payment equal to the number of fractional shares that would otherwise have been issued multiplied by the average closing sales price of the Common Stock as reported on the NYSE American LLC for the ten days prior to the effective date of the Reverse Stock Split.
Additional details regarding the Company’s Reverse Stock Split can be found in the Current Report on Form 8-K that the Company will file with the Securities and Exchange Commission (the “SEC”).
Scorpius Holdings, Inc.
Scorpius Holdings, Inc. is an integrated contract development and manufacturing organization (CDMO) focused on rapidly advancing biologic programs to the clinic and beyond. Scorpius offers a broad array of analytical testing, process development, and manufacturing services to pharmaceutical and biotech companies at its state-of-the-art facilities in San Antonio, TX. With an experienced team and new, purpose-built U.S. facilities, Scorpius is dedicated to transparent collaboration and flexible, high-quality biologics biomanufacturing. For more information, please visit www.scorpiusbiologics.com.
Forward-Looking Statement
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. In some cases, forward-looking statements can be identified by terminology such as "may," "should," "potential," "continue," "expects," "anticipates," "intends," "plans," "believes," "estimates," and similar expressions, and include statements regarding continuing to be in compliance with the requirements and policies of the NYSE American. Important factors that could cause actual results to differ materially from current expectations include, among others, the Reverse Stock Split resulting in an increase the selling price of the Company’s Common Stock; the ability of the Company to continue to meet the listing requirements of the NYSE American and have its Common Stock remain listed on the NYSE American; the effectiveness of the Reverse Stock Split on the anticipated date and time; and other factors described in the Company’s annual report on Form 10-K for the year ended December 31, 2023, subsequent quarterly reports on Form 10-Qs, current reports on Form 8-Ks and any other filings the Company makes with the SEC. The information in this presentation is provided only as of the date presented, and the Company undertakes no obligation to update any forward-looking statements contained in this presentation on account of new information, future events, or otherwise, except as required by law.
Media and Investor Relations Contact
David Waldman
+1 919 289 4017
ir@scorpiusbiologics.com
FAQ
When will SCPX's 1-for-20 reverse stock split take effect?
What happens to fractional shares in SCPX's reverse stock split?
What was the approved reverse split ratio range for SCPX?
Will SCPX shareholders' ownership percentages change after the reverse split?
What is the new CUSIP number for SCPX after the reverse split?
