Lexaria Bioscience Corp. (Nasdaq: LEXX) announced it will effect a 1-for-15 reverse stock split of its common stock, effective 12:01 am EST on August 3, 2026. The primary goal is to increase the per-share market price to regain compliance with Nasdaq's minimum $1.00 bid price requirement under Listing Rule 5550(a)(2). The reverse split is also intended to stabilize uncertain stock conditions as the company pursues critical business drivers that it believes are in shareholders' best interests.
CEO Richard Christopher emphasized the urgency, stating, "The Reverse Split is a critical step towards our continued listing on Nasdaq. We have determined that it is prudent and extremely important that the Reverse Split is conducted sooner rather than later." He noted that Nasdaq compliance impacts Lexaria's ability to attract business development partners, advance discussions, and broaden investor appeal. "Recent equity market weakness is at odds with the great potential of our technology, and the Company needs a stable foundation in order to take advantage of existing and upcoming opportunities," he added.
The split will reduce the company's issued shares from 24,787,446 to approximately 1,652,518, with fractional shares rounded up to the nearest whole number. Authorized shares will decrease from 220,000,000 to 14,666,667, and outstanding convertible securities will be adjusted proportionally. The ratio was determined after examining 24 reverse stock splits by Nasdaq-listed biotech companies in the first half of 2026, which had an average ratio of 1-for-18.
Lexaria plans to request a Nasdaq hearing to appeal any delisting notification, expecting to comply with the minimum bid price by mid-August before any hearing. The shares will continue trading under the symbol LEXX with a new CUSIP number. Shareholders with physical certificates must contact Computershare Trust Company of Canada for procedures.
Lexaria's patented DehydraTECH™ drug delivery platform improves oral drug absorption and has shown increased bio-absorption and reduced side effects. The company holds 66 patents worldwide. For more information, visit www.lexariabioscience.com.
