Shares of Hemispherx Biopharma Inc (NYSEAMERICAN:HEB) were up sharply Tuesday in their first day of trading after a 1-for-44 reverse stock split.
The Florida-based company announced the move on May 31, anticipating that a split could help propel the stock to $5 per share.
That goal was reached — and then some — with the stock rising about 16% to $5.20 in afternoon trading on the NYSE American.
The biopharma is looking to strengthen its position as it moves forward with several studies of its flagship drug, ampligen, which the company says has shown progress in the treatment of breast and prostate cancers.
“We want a stock price high enough to allow all major players in the market, such as well-established funds, family offices, banks and index funds to buy on the open market and create favorable buying pressure on the stock,” said CEO Thomas Equels.
Contact Paul Curcio at [email protected]
Follow him on Twitter @GoCurcioGo