RICHMOND, Va., Oct. 14 /PRNewswire-FirstCall/ -- Insmed Inc. (Nasdaq CM: INSM), a developer of follow-on biologics and biopharmaceuticals, today announced that it will seek shareholder approval to implement a reverse stock split, if necessary, at a Special Meeting of Stockholders on November 24, 2008, in an effort to meet the minimum bid price rule for continued listing on The NASDAQ Stock Market.
On September 3, 2008, the Company announced that the NASDAQ Listing Qualifications Panel had granted Insmed's request to remain listed on The NASDAQ Stock Market, subject to the condition that on or before December 15, 2008, Insmed must evidence a closing bid price of $1.00 or more for a minimum of ten consecutive business days (the "Minimum Bid"). The process for formally seeking shareholder approval for a reverse split takes several weeks and, therefore, needs to be initiated at this time so that it can be in place, if needed, to meet the December 15, 2008 compliance deadline. If Insmed is able to attain the Minimum Bid by the compliance deadline without the need for a reverse stock split, the Company may choose not to effect the split.
"Insmed, in conjunction with RBC Capital Markets, continues to work diligently to secure an appropriate partner for our follow-on biologics business," said Geoffrey Allan, President and CEO of Insmed. "Given that we are not able to determine the exact timing and potential impact of a partnership on our share price at this time, we felt it was prudent to take the necessary steps to enable us to execute a reverse split, should we need to, in order to maintain our listing on NASDAQ. Given the current economic climate, we believe being a NASDAQ-listed company and having access to the capital markets is necessary."
The date for determining stockholders of record entitled to receive
notice of, and to vote at, the Special Meeting is October 17, 2008. A
definitive proxy statement containing important stockholder inform
|SOURCE Insmed Inc.|
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