Full Press Release Details
Biosciences Announces Reverse Stock Split in Preparation for Proposed Uplisting to Nasdaq Capital Market
MA - (June 1, 2016) - Xenetic Biosciences, Inc. (OTCQB: XBIO) ("Xenetic"
or "the Company"), a biopharmaceutical company developing next-generation biologic drugs and novel orphan oncology
therapeutics, today announced that its Board of Directors has approved a proportional 1-for-33 reduction and reverse stock split
of its issued and outstanding common stock in preparation for its planned uplisting to the NASDAQ Capital Market ("NASDAQ").
The Company anticipates the reverse stock split to become effective and its common stock to begin trading on a post-split basis
at the open of trading on Wednesday June 1, 2016, contingent upon final approval from the Financial Industry Regulatory Authority
The reverse stock split is intended
to fulfill the stock price requirements for listing on NASDAQ since the requirements include that the Company's common stock
must maintain a minimum closing price for 30 of 60 trading days.
"The reverse split is another
fundamental step in our strategy in preparation for our planned uplisting to NASDAQ," said M. Scott Maguire, Chief Executive
Officer. "In addition to unlocking the tremendous potential that exists within our deep pipeline, a NASDAQ listing has been
an important stated goal of Xenetic for 2016. Importantly, we expect the NASDAQ listing will enable us to attract a broader range
of investors and to increase share liquidity, critical elements that we expect will propel the company forward as we advance to
our next stage of growth. The Board is unanimously pleased to be taking these final steps necessary to effect one of our near-term,
transformational corporate goals."
At the effective time of the reverse
stock split, every 33 shares of issued and outstanding common stock will be converted into one newly issued share of common stock.
Similarly, shares issuable pursuant to outstanding options, warrants and other derivatives
will automatically be reduced in the same ratio as the reduction in the outstanding shares. The per share exercise price of those
options and warrants will also be increased in direct proportion to the reverse stock split ratio as will be the case of the price
of the stock on the OTC markets. As a result, the aggregate dollar amount payable for the purchase of the shares subject to the
options and warrants will remain unchanged. Any fractional shares resulting from the reverse stock split will be round
up to the nearest whole share, and a new CUSIP will be assigned to the Company's common stock.
of record are not required to send in their current stock certificates or evidence of book-entry or other electronic positions
for exchange. After the reverse stock split is effective, each stock certificate and book entry or other electronic position representing
issued and outstanding shares of the company's common stock will be automatically adjusted. Shareholders should direct any questions
concerning the reverse split to their broker or the company's transfer agent Empire Stock Transfer.
note that there can be no assurance that the Company's application for listing to the NASDAQ stock exchange will be accepted.
Biosciences, Inc. is a biopharmaceutical company developing next-generation biologic drugs and novel oncology therapeutics.
Xenetic's proprietary drug technology platforms include PolyXen , designed to develop next generation biologic drugs by extending
the efficacy, safety and half-life of biologic drugs.
lead product candidates include ErepoXen , a polysialylated form of erythropoietin (EPO) for the treatment of anemia in
pre-dialysis patients with chronic kidney disease, and FDA orphan designated oncology therapeutics Virexxa and
Oncohist for the treatment of progesterone receptor negative endometrial cancer and refractory Acute Myeloid Leukemia.
is also working together with Baxalta Incorporated (formerly Baxter Healthcare) to develop a novel series of polysialylated
blood coagulation factors, including a next generation Factor VIII. This collaboration relies on Xenetic's PolyXen technology
to conjugate PSA to therapeutic blood-clotting factors, with the goal of improving the pharmacokinetic profile and extending the
active life of these biologic molecules. Baxalta is one of the Company's largest shareholders having invested $10M in
the common stock of the Company during 2014. The agreement is an exclusive research, development and license agreement which grants
Baxalta a worldwide, exclusive, royalty-bearing license to Xenetic's PSA patented and proprietary technology in combination with
Baxalta's proprietary molecules designed for the treatment of blood and bleeding disorders. Under the agreement, Xenetic may receive
regulatory and sales target payments for total potential milestone receipts of up to $100 million plus royalties on
is also developing a broad pipeline of clinical candidates for next generation biologics and novel oncology therapeutics in a
number of orphan disease indications. For more information, please visit the company's website at www.xeneticbio.com and
connect on Twitter, LinkedIn, Facebook and Google+.
press release contains "forward-looking statements," as that term is defined under the Private Securities Litigation
Reform Act of 1995 (PSLRA), which statements may be identified by words such as "expects," "plans," "projects,"
"will," "may," "anticipates," "believes," "should," "intends," "estimates,"
and other words of similar meaning, including statements regarding expected benefits of NGS cancer panels, the ability to accurately
determine the heritable factors increasing the risk of cancer, permitting tailored treatment, screening and prevention of cancer
in patients, as well as other non-historical statements about our expectations, beliefs or intentions regarding our business,
technologies and products, financial condition, strategies or prospects. Many factors could cause our actual activities or results
to differ materially from the activities and results anticipated in forward-looking statements. These factors include those described
in our filings with the Securities and Exchange Commission, as well as the risks inherent in funding, developing and obtaining
regulatory approvals of new, commercially-viable and competitive products and treatments. In addition, forward-looking statements
may also be adversely affected by general market factors, competitive product development, product availability, federal and state
regulations and legislation, the regulatory process for new products and indications, manufacturing issues that may arise, patent
positions and litigation, among other factors. The forward-looking statements contained in this press release speak only as of
the date the statements were made, and we do not undertake any obligation to update forward-looking statements. We intend that
all forward-looking statements be subject to the safe-harbor provisions of the PSLRA.
Thomas Communications, LLC.
Xenetic Biosciences, Inc.