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Decoy Therapeutics Plans a Reverse Stock Split

Decoy Therapeutics Inc., a biopharmaceutical company specializing in innovative peptide conjugate therapeutics, has officially announced a 1-for-12 reverse stock split. This strategic financial move is set to occur at 5:00 PM Eastern Time on March 6, 2026. The excitement around this development is evident as it aims to assist Decoy in meeting the Nasdaq Capital Market's continued listing requirement of maintaining a minimum closing bid price of $1.00 for its common stock.

Reverse Stock Split Details

As of March 9, 2026, upon trading opening, Decoy's common shares will become available on a split-adjusted basis under a new CUSIP number (79400X602). This bold action follows a decision approved by the company's stockholders during a special meeting held on February 24, 2026, where the potential of adjusting the stock split ratio was extensively discussed. The total range proposed was from a 1-for-4 to a 1-for-15 reverse split, with the Board of Directors ultimately deciding on the 1-for-12 ratio.

The implications of this reverse stock split are significant. Shareholders will find their total shares reduced from about 6.38 million to approximately 532,000 shares, streamlining their holdings while ensuring compliance with Nasdaq regulations. Moreover, all issued options and warrants associated with Decoy's common stock will be adjusted accordingly, securing fair treatment for all shareholders.

Understanding the Financial Motivation

Decoy Therapeutics views this reverse stock split as a necessary step towards enhancing market perception and positioning itself for future growth. A higher share price can improve investor interest and facilitate better evaluation of the company's financial health by potential investors and analysts. Maintaining inclusion in the Nasdaq market can also provide Decoy with increased visibility and credibility in the highly competitive biopharmaceutical sector.

Forward-looking statements from the company underline their commitment to meeting future milestones and expanding on their product pipelines, specifically targeting areas such as respiratory viruses and gastrointestinal cancers. This solidifies their position as a forward-thinking player harnessing advanced technology to develop pioneering therapeutics to meet unmet medical needs.

Guidance for Shareholders

For shareholders holding physical stock certificates, Equiniti Trust Company, LLC will act as the exchange agent and transfer agent for the reverse stock split process. They will provide guidelines and support for exchanging pre-split stock certificates for post-split shares and assist with cash payments for any fractional shares resulting from the adjustment.

This announcement underscores Decoy’s strategic approach amidst a continuously evolving market landscape, aiming to navigate challenges while capitalizing on growth opportunities. The biopharmaceutical manufacturing process adopted by Decoy incorporates cutting-edge machine learning and artificial intelligence, indicating a substantial investment in technology to accelerate drug candidate development.

In retrospect, as the company champions this transformative phase, Decoy Therapeutics Inc. appears determined not only to comply with market requirements but to emerge as a leader in addressing critical health challenges through innovation and scalability in biopharmaceuticals.