BIOLASE, Inc. announced that at its annual meeting of stockholders held on May 9, 2018, the Company’s stockholders granted the Board of Directors the discretion to effect a reverse stock split of BIOLASE’s common stock at a ratio of not less than 1-for-5 and not more than 1-for-15. Immediately after the annual meeting, the Board of Directors approved the reverse stock split of BIOLASE’s common stock, through an amendment to BIOLASE’s charter, at a ratio of 1 post-split share for every 5 pre-split shares. The 1-for-5 reverse stock split will become effective at 11:59 p.m. ET on Thursday, May 10, 2018 (the “Effective Date”), and Company common stock will begin trading on a split-adjusted basis at the opening of the market on May 11, 2018.
The 1-for-5 reverse stock split will reduce the number of outstanding shares of Company common stock from approximately 102,380,238 shares to approximately 20,470,047 shares. Proportional adjustments will be made to the number of shares of BIOLASE’s common stock issuable upon exercise or conversion of BIOLASE’s outstanding equity awards and warrants, as well as the applicable exercise price. The number of authorized shares of Company common stock will be reduced from 200,000,000 to 40,000,000 shares.
The purpose of the 1-for-5 reverse stock split is to raise the per share trading price of Company common stock to continue its listing on the Nasdaq Capital Market. To maintain listing, the Nasdaq Capital Market requires, among other things, that a company’s common stock maintain a minimum bid price of at least $1.00 per share for ten consecutive trading days (the “Minimum Bid Price”).
BIOLASE Chairman of the Board, Jonathan T. Lord, M.D., said, “While we can’t guarantee that the 1-for-5 reverse stock split will result in a sustainable increase in the price of our common stock above the Minimum Bid Price, we believe it is in the best interests of our stockholders to take whatever steps are available to us to maintain the trading of our common stock on the Nasdaq Capital Market. Also, our expectation is that the decrease in the number of shares of our outstanding common stock stemming from the reverse stock split, and the anticipated increase in the price per share, could promote greater liquidity for our stockholders with respect to BIOLASE stock.”
“We also believe that a higher price of our common stock could help improve the marketability of our stock to, and acceptance by, institutional investors, research analysts and other members of the investing public,” Dr. Lord added, “In addition, if the reverse stock split is successful in helping to produce a sustainable increase in the per share price of our common stock above the Minimum Bid Price, it could enhance our ability to attract and retain employees and service providers.”
About BIOLASE, Inc.
BIOLASE, Inc. is a medical device company that develops, manufactures, markets, and sells laser systems in dentistry and medicine and also markets, sells, and distributes dental imaging equipment, including three-dimensional CAD/CAM intra-oral scanners and digital dentistry software.
For Further Information
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