RE:RE:New Press Release - Aeterna Zentaris and Ceapro Merger Approved by Securityholders at Special MeetingsIf you add the current market cap of both AEZS and CZO you will get about $30M CDN in total. Divide that by the 15M shares and you will end up with a share price of about $2 CDN / share. If the market is efficient that is what the share price would be about of the merged company.
As $2 CDN or about $1.50 USD, the share price does not meet min. NASDAQ listing requirements if it stays prolonged at that level. A share consolidation of 1 for 3 only takes it to $4.50 USD and a 1 for 4 takes it to $6 USD. Nonetheless share prices usually drop after a share consolidation so there is a small buffer after a 1 for 4 rollback.
"Initial Minimum Bid Price for Stock: The stock must have a minimum initial bid price of $5.00, and must later remain at or above $1.00. This requirement serves as a safeguard against certain market activities associated with low-priced securities, and *protects the credibility of the NASDAQ market."
* lol, share rollbacks to get the share price up does not protect the credibility of NASDAQ