Full Press Release Details
Rigel Announces Reverse Stock Split
SOUTH SAN FRANCISCO,
Calif., June 25, 2024 /PRNewswire/
-- Rigel Pharmaceuticals, Inc. (Nasdaq: RIGL) today announced that it will
effect a reverse stock split of its issued and outstanding shares of common stock at a ratio of 1-for-10 (the "Reverse Stock Split"),
effective at 12:01 a.m. Eastern Time on Thursday, June 27, 2024. The company's common stock will begin trading on a post-split
basis on The Nasdaq Global Select Market under the same symbol (RIGL) when the market opens on Thursday, June 27, 2024, with the
new CUSIP number 766559702.
Reverse Stock Split was approved by the company's stockholders at its Annual Meeting of Stockholders held on May 24, 2024 to
be effected by the company's Board of Directors (the "Board") within approved parameters. The final ratio was approved
by the Board on June 15, 2024. As a result of the Reverse Stock Split, every 10 shares of the company's pre-split common stock
issued and outstanding will be automatically reclassified into one new share of the company's common stock. This will reduce the
number of shares outstanding from approximately 175,582,945 shares to approximately 17,558,294, subject to adjustment due to the payment
of cash in lieu of fractional shares. Proportionate adjustments will be made to the exercise prices and the number of shares underlying
the company's equity plans, as applicable. The Reverse Stock Split will not affect the number of authorized shares of common stock
or the par value of the common stock.
primary objective in effectuating the Reverse Stock Split will be to attempt to raise the per-share trading price of the company's
common stock. Rigel believes that the low per-share market price of its common stock impairs the company's marketability to, and
acceptance by, institutional investors and other members of the investing public and creates a negative impression of the company. Among
other benefits, the Reverse Stock Split will also help the company to maintain compliance with the minimum bid continued listing requirement
of $1.00 per share required to maintain continued listing on The Nasdaq Global Select Market.
Trust Company, LLC, is acting as the exchange agent for the Reverse Stock Split. Registered stockholders holding pre-split shares of the
company's common stock electronically in book-entry form are not required to take any action to receive post-split shares. Stockholders
owning shares in "street name" or via a broker, bank, trust or other nominee will have their positions automatically adjusted
to reflect the Reverse Stock Split, subject to the particular processes of such broker, bank, trust or other nominee, and will not be
required to take any action in connection with the Reverse Stock Split. Stockholders holding shares of the company's common stock in certificate
form will receive a transmittal letter from Equiniti with instructions as soon as practicable after the effective date. No fractional
shares will be issued in connection with the Reverse Stock Split. Stockholders who otherwise would be entitled to receive fractional shares
will receive a cash payment in lieu of such fractional shares.
information regarding the Reverse Stock Split is available on the Form 8-K filed today, as well as in the company's definitive
proxy statement filed with the Securities and Exchange Commission on April 10, 2024, a copy of which is available at www.sec.gov
and on the company's website.
Pharmaceuticals, Inc. (Nasdaq: RIGL) is a biotechnology company dedicated to discovering, developing and providing novel therapies
that significantly improve the lives of patients with hematologic disorders and cancer. Founded in 1996, Rigel is based in South San Francisco,
California. For more information on Rigel, the company's marketed products and pipeline of potential products, visit www.rigel.com.
Forward Looking Statements
press release contains forward-looking statements relating to, among other things, future Rigel stock price, expected market impact
on Rigel stock, expectations related to the potential and market opportunity of Rigel stock, the effect of the Reverse Stock Split
on marketability to and acceptance by institutional investors and other members of the investing public and impressions of the company
in the market, the effect of the Reverse Stock Split on Rigel stock and stockholders, our ability to maintain compliance with the Nasdaq
continued listing requirements, and Rigel's future performance. Any statements contained in this press release that are not statements
of historical fact may be deemed to be forward-looking statements. Forward-looking statements can be identified by words such as "plan",
"potential", "may", "expects", "will" and similar expressions in reference to future periods.
Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based on Rigel's current
beliefs, expectations, and assumptions and hence they inherently involve significant risks, uncertainties and changes in circumstances
that are difficult to predict and many of which are outside of our control. Therefore, you should not rely on any of these forward-looking
statements. Actual results and the timing of events could differ materially from those anticipated in such forward looking statements
as a result of these risks and uncertainties, which include, without limitation, risks and uncertainties associated with our ability to
maintain compliance with Nasdaq's continued listing requirements, including the minimum bid price requirement of $1.00 per share; as well
as other risks detailed from time to time in Rigel's reports filed with the Securities and Exchange Commission, including its Annual Report
on Form 10-K for the year ended December 31, 2023 and subsequent filings. Any forward-looking statement made by us in this press
release is based only on information currently available to us and speaks only as of the date on which it is made. Rigel does not
undertake any obligation to update forward-looking statements, whether written or oral, that may be made from time to time, whether as
a result of new information, future developments or otherwise, and expressly disclaims any obligation or undertaking to release publicly
any updates or revisions to any forward-looking statements contained herein, except as required by law.
Contact for Investors &
Rigel Pharmaceuticals, Inc.