SALT LAKE CITY--(BUSINESS WIRE)--Great Basin Scientific, Inc. (NASDAQ:GBSN), a molecular diagnostics company, announced today that it has effected a 1-for-35 reverse split of its common stock. The Company has issued no additional shares since announcing its intent to effect the reverse split, and therefore its common stock will open for trading on The Nasdaq Capital Market on Thursday, March 31, 2016 on a post-split basis, with 3.265 million shares outstanding. The common stock will have a par value of $0.0001.
Proportional adjustments have also been made to the Company's outstanding preferred shares, senior secured convertible notes, stock options, warrants, and equity incentive plan. The number of authorized shares of the Company's common stock remains unchanged.
“Great Basin faced two challenges in maintaining its continuing listing on Nasdaq; this reverse split resolves the first of those challenges by allowing us to meet the minimum bid price requirement,” said Ryan Ashton, co-founder and Chief Executive Officer of Great Basin Scientific. “We want to assure shareholders that we are committed to doing all we can to bring the Company back into compliance with the Market Value of Listed Securities (MVLS) requirement outlined in Nasdaq Listing Rule 5550(b). While the Nasdaq staff cannot grant an additional 180 days for Great Basin to come into compliance with the MVLS requirement, the Company can and will request a hearing, which will stay our delisting. At that hearing we intend to present a plan for coming into compliance, and the Hearing Panel has the discretion to grant us up to an additional 180 days from the date of the relevant delisting letter to regain compliance. To that end, we are working with our institutional shareholders to reduce the derivative liability caused by certain of our outstanding securities, and we are working closely with our financial advisors, including our Nasdaq consultant, to prepare a complete plan for coming into continued-listing compliance that we will present to Nasdaq at the appropriate time.”
About Great Basin Scientific
Great Basin Scientific is a molecular diagnostics company that commercializes breakthrough chip-based technologies. The Company is dedicated to the development of simple, yet powerful, sample-to-result technology and products that provide fast, multiple-pathogen diagnoses of infectious diseases. The Company's vision is to make molecular diagnostic testing so simple and cost-effective that every patient will be tested for every serious infection, reducing misdiagnoses and significantly limiting the spread of infectious disease.
This press release includes forward-looking statement regarding events, trends and business prospects, which may affect our future operating results and financial position, including statements regarding the effective date of the reverse stock split, the Company’s ability to regain compliance with NASDAQ listing requirements and similar statements. Forward-looking statements involve risk and uncertainties, which could cause actual results to differ materially, and reported results should not be considered as an indication of future performance. These risk and uncertainties include, but are not limited to: (i) our limited operating history and history or losses; (ii) our ability to develop and commercialize new products and the timing of commercialization; (iii) our ability to obtain capital when needed; and (iv) other risks set forth in the Company's filings with the Securities and Exchange Commission, including the risks set forth in the company's Annual Report on Form 10-K for the year ended December 31, 2015. These forward-looking statements speak only as of the date hereof and Great Basin Scientific specifically disclaims any obligation to update these forward-looking statements, except as required by law.