TENX - Why Is Tenax Therapeutics (TENX) Stock On the Move Today?
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Tenax Therapeutics (NASDAQ:TENX) stock is on the move Wednesday after the company announced plans for a reverse stock split.
At 5:00 p.m. Eastern Time today TENX stock will undergo a 1-for-20 reverse stock split. That will see the company consolidate down 20 shares of its stock into a single share. These consolidated shares will start trading when markets open tomorrow.
This reverse stock split will affect all shareholders of TENX equally. That means there won’t be a change in stakes after the split goes into effect. It also doesn’t change the company’s market capitalization.
What’s Behind the Reverse Stock Split?
Tenax Therapeutics is moving forward with this reverse stock split as a way to increase the price of TENX stock. Currently, those shares are trading for about 10 cents each. At that price, the company’s stock isn’t meeting the minimum required to trade on the Nasdaq Exchange.
With this reverse stock split, shares of TENX stock will increase in value. Doing so will allow the company to avoid delisting on the Nasdaq. As a result of this action, the company’s outstanding shares will change from 45,836,215 to 2,291,811.
Today’s news brings with it heavy trading of TENX stock. As of this writing, more than 23 million shares of the stock have changed hands. That’s well above its daily average trading volume of about 4.5 million shares.
TENX stock is down 2.1% Wednesday morning after rising higher in earlier trading.
Investors seeking more of the latest stock market news will want to stick around!
InvestorPlace is home to all of the most recent stock market coverage traders need to know about on Wednesday! Among that is what has shares of GE HealthCare (NASDAQ:GEHC), Alibaba (NYSE:BABA), and Salesforce (NYSE:CRM) stock moving today. You can find out more on these matters at the links below!
More Wednesday Stock Market News
- GEHC Stock Alert: What to Know as GE HealthCare Begins Trading
- Why Is Alibaba Stock Up 6% Today?
- Salesforce Layoffs 2023: 5 Things to Know About the Latest CRM Job Cuts
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
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