Luckyy, that's a good question. I am no expert but here's what I think. I am open to the advice/comments/feedback of others.
On April 29, 2020, NYSE informed ATNM of non-compliance wrt the stock "selling for a low price per share for a substantial period of time" and that continued non-compliance would result in delisting. Also, the NYSE advised that its policy is to immediately suspend trading in shares of a listed company if the market price of its shares falls below $0.06 per share at any time during the trading day.
The remedy to the noncompliance is predicated on ATNM (via a reverse stock split or otherwise) "demonstrating sustained price improvement within a reasonable period of time, which the staff determined to be until October 29, 2020".
So, my thinking on this is that ATNM must get is stock to $1 by the end of October or it will likely implement a reverse split. So, IMHO, the company has an incentive to get the pps up to $1.
I may be wrong but I included the company PR for all to see to draw your own conclusions.
Quote: NYSE American Notification and Potential Reverse Stock Split
On April 29, 2020, we received a deficiency letter from the NYSE American LLC, or the NYSE American, indicating that we are not in compliance with certain NYSE American continued listing standards. The deficiency letter states that our shares of common stock have been selling for a low price per share for a substantial period of time. Pursuant to Section 1003(f)(v) of the Company Guide, the NYSE American staff determined that our continued listing is predicated on us effecting a reverse stock split of our common stock or otherwise demonstrating sustained price improvement within a reasonable period of time, which the staff determined to be until October 29, 2020.
The letter further stated that as a result of the foregoing, we have become subject to the procedures and requirements of Section 1009 of the NYSE American Company Guide, which could, among other things, result in the initiation of delisting proceedings, unless we cure the deficiency in a timely manner. Our common stock will continue to be listed on the NYSE American while we attempt to regain compliance with the listing standards, subject to our compliance with other continued listing requirements.
In addition, the NYSE American has advised us that its policy is to immediately suspend trading in shares of, and commence delisting procedures with respect to, a listed company if the market price of its shares falls below $0.06 per share at any time during the trading day.
We intend to regain compliance with the NYSE American’s continued listing standards by undertaking a measure or measures that are for the best interests of the Company and our stockholders. On October 18, 2019, our board of directors unanimously approved, subject to stockholder approval, an amendment to our certificate of incorporation to effect a reverse stock split of our outstanding common stock by combining outstanding shares of common stock into a lesser number of outstanding shares of common stock by a ratio of not more than 1-for-75 prior to December 18, 2020, with the exact ratio to be set within this range by our board of directors at its sole discretion. On December 18, 2019, at our 2019 Annual Meeting of Stockholders, our stockholders approved such proposed amendment to our certificate of incorporation. The primary intent of effecting the reverse stock split, if our board of directors determines to do so, would be to ensure that we are able to maintain compliance with the listing standards of the NYSE American.The board of directors may alternatively elect to abandon such proposed amendment and not effect the reverse stock split authorized by stockholders, in its sole discretion.
Although we expect that a reverse stock split will result in an increase in the market price of our common stock, such reverse stock split may not result in a permanent increase in the market price of our common stock, which is dependent on many factors, including general economic, market and industry conditions and other factors detailed from time to time in the reports we file with the Securities and Exchange Commission.
If we implement the reverse stock split, the reverse stock split would affect all of our stockholders uniformly and will not affect any stockholder’s percentage ownership interest in our company, except to the extent that the reverse stock split results in any of our stockholders owning a fractional share. The reverse stock split would not change the terms of our common stock. After a reverse stock split, all shares of common stock would have the same voting rights and rights to dividends and distributions and will be identical in all other respects to the common stock now authorized, which is not entitled to preemptive or subscription rights, and is not subject to conversion, redemption or sinking fund provisions.
As of the effective time of the reverse stock split, if any, we would adjust and proportionately decrease the number of shares of our common stock reserved for issuance upon exercise of, and adjust and proportionately increase the exercise price of, all options and warrants and other rights to acquire our common stock. In addition, as of the effective time of a reverse stock split, we would adjust and proportionately decrease the total number of shares of our common stock that may be the subject of the future grants under our stock plans.
