December 22, 2017 9:31am
The implementation of this reverse stock split will continue CEO McGorry’s “abuse and destruction of the shareholder value due to his mismanagement, misdirection and misdeeds”. It’s all about salary and “bennies” continuance, violations of fiduciary omittance and having condoned and ignored employee – male and female harassment.” And if that isn’t enough …
BSTG announced a reverse stock split of its shares of common stock at a ratio of 1-for-20.
“BSTG's common stock will begin trading on a post-split basis on Friday, December 22, 2017. Upon the commencement of trading on December 22, 2017, BSTG's symbol on the OTCQB marketplace will change to "BSTGD" for a period of 20 business days, after which the "D" will be removed from the trading symbol, which will revert to the original symbol of "BSTG".
The reverse stock split was implemented by Biostage in order to satisfy a condition to closing pursuant to the binding Memorandum of Understanding ("MOU") entered into between the Company and a private investor on December 11, 2017 for the private placement of shares of the Company's common stock, or a convertible preferred equivalent, and warrants to purchase shares of the Company's common stock, or a convertible preferred equivalent, for gross proceeds of approximately $4 million.”
… After $30 M in three (3) years was “drained” from the company …
As a result of the reverse stock split, BSTG's issued and outstanding shares of common stock will decrease to approximately 2 M post-split shares (prior to effecting the rounding of fractional shares into whole shares as described below) from approximately 39.8 million pre-split shares.
The reverse stock split equal $1.32, which represents the closing price per share of $0.066 for the common stock on the OTCQB marketplace as of December 21, 2017, as adjusted to reflect the reverse stock split.
The authorized capital of the Company of 120 M shares of common stock and 2 M shares of preferred stock also will not be affected by the reverse stock split.
All I can say is “SHAME” on him and his minion CFO and two accountants that are left running the company – where are the scientists again (?) laid-off.
There is authenticity in this OPINION!