Avenue Therapeutics, Inc. has announced that stockholders holding approximately 56.4% of the voting power have approved by written consent two significant corporate actions. Firstly, they have consented to increase the authorized shares of common stock from 75 million to 200 million. Secondly, they have authorized the issuance of shares underlying certain warrants, which could exceed 20% of the outstanding common stock prior to the issuance, in compliance with Nasdaq Listing Rule 5635(d). The board of directors has unanimously approved these actions and recommended stockholder approval. The company has also entered into Inducement Letters with certain investors, agreeing to issue new warrants in a private placement transaction. The effective date of these corporate actions will be no earlier than 20 days after the mailing of the...Show More

Avenue Therapeutics, Inc. has announced that stockholders holding approximately 56.4% of the voting power have approved by written consent two significant corporate actions. Firstly, they have consented to increase the authorized shares of common stock from 75 million to 200 million. Secondly, they have authorized the issuance of shares underlying certain warrants, which could exceed 20% of the outstanding common stock prior to the issuance, in compliance with Nasdaq Listing Rule 5635(d). The board of directors has unanimously approved these actions and recommended stockholder approval. The company has also entered into Inducement Letters with certain investors, agreeing to issue new warrants in a private placement transaction. The effective date of these corporate actions will be no earlier than 20 days after the mailing of the Information Statement to stockholders, which is scheduled on or about 2024. The board reserves the right to not proceed with the increase in authorized shares if deemed not in the best interests of stockholders. The company is focused on developing therapies for neurologic diseases and has incurred significant losses since inception, with a reported accumulated deficit of approximately $91.6 million as of September 30, 2023. The increase in authorized shares is intended to provide flexibility for future business and financial purposes, including potential equity offerings, employee incentives, and business acquisitions.