Genesis Biopharma Inc. late Wednesday announced a 1-for-100 reverse stock split that will be effective Thursday. The company will change its name to Lion Biotechnologies Inc.
The West Los Angeles cancer treatment developer said the number of current outstanding shares will fall from about 1.51 billion to less than 15.1 million. The board fixed the number of authorized shares of common stock after the split at 150 million, and authorized the issuance of 50 million “blank check” preferred shares with a $0.001 par value per share.
The changes come about two months after Genesis merged with Lion Biotechnologies Inc., an acquisition company controlled by Manish Singh, former ImmunoCellular Therapeutics chief executive. Singh, a former venture capitalist, resigned from the Woodland Hills cancer drug developer in August 2012 after a falling out with its founder.
Singh is chief executive of the merged companies, which hope to commercialize a variety of proprietary technologies, including a way to more effectively use T-cells in the body's immune system to fight advanced melanoma and other cancers.
“The name change to Lion Biotechnologies reflects the company’s transition to a new management team and board of directors, along with the adoption of a broader growth strategy,” Singh said in a statement.
Before the announcement, Genesis share closed down 1 cent, or 13 percent, to 4 cents on the OTC Markets.