Tandem Diabetes Care (NSDQ:TNDM) shareholders met yesterday and approved a proposal to effect a reverse stock split at a ratio between 1-for-8 and 1-for-12, according to a regulatory document.
In a statement filed with the SEC in July, the San Diego, Calif.-based company told shareholders that it believed a reverse stock split would help Tandem keep its common stock listed on the Nasdaq market and make its stock more attractive to institutional investors.
“Our board of directors further believes that an increased stock price may also encourage investor interest and improve the marketability of our common stock to a broader range of investors, and thus improve the liquidity of our shares and lower average transaction costs for our stockholders,” the company wrote.
The exact ratio of the reverse split will be decided by Tandem’s board of directors before June 20, 2018, the company reported.
In August, the FDA approved Tandem’s t:slim X2 insulin pump with Dexcom‘s (NSDQ:DXCM) G5 mobile continuous glucose monitor.
The regulatory win makes the device the first sensor-augmented insulin pump cleared to let users make treatment decisions without pricking their finger, the company touted.
Tandem said that the software used with this pump will be available to current t:slim X2 pump users at no additional cost, enabling them to add CGM-integration to their existing pumps.
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