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Lexaria Announces Effective Date for Reverse Stock Split

(Very Negative)

Lexaria Bioscience (Nasdaq:LEXX) will implement a 1-for-15 reverse stock split of its common shares effective 12:01 a.m. EST on August 3, 2026, aiming to increase its share price to regain compliance with Nasdaq’s $1.00 minimum bid requirement under Listing Rule 5550(a)(2).

The split will consolidate approximately 24.79 million issued shares into about 1.65 million shares, with fractional shares rounded up. Authorized shares will decrease from 220 million to about 14.67 million, without changing par value, leaving shareholder ownership percentages unchanged. Options and warrants and their exercise prices will be adjusted proportionally, and LEXX will retain its Nasdaq symbol with a new CUSIP.

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Positive

  • 1-for-15 reverse split targets Nasdaq $1.00 minimum bid compliance
  • Issued shares reduced from 24,787,446 to about 1,652,518 post-split
  • Authorized shares cut from 220,000,000 to approximately 14,666,667

Negative

  • Reverse split undertaken amid recent equity market weakness in LEXX shares
  • Company anticipates need to request a Nasdaq hearing to appeal potential delisting

News Explained

The 1-for-15 reverse split remains an intended August 3 action, not a completed consolidation: if carried out, it reduces share count while leaving ownership percentages unchanged, and Lexaria expects Nasdaq compliance in mid-August before any delisting hearing.

Market Context

Recent Lexaria news produced mixed 24-hour reactions, including +3.65% on June 17 and -2.63% on June...
Analysis

Recent Lexaria news produced mixed 24-hour reactions, including +3.65% on June 17 and -2.63% on June 23. That record adds a company-specific comparison to the reverse split; listing compliance and execution remain risks to watch.

Key Figures

Reverse split effective date: 12:01 am EST on August 3, 2026 Minimum bid price: $1.00 per share Reverse split ratio: 1-for-15 +5 more
8 metrics
Reverse split effective date 12:01 am EST on August 3, 2026 Reverse stock split
Minimum bid price $1.00 per share Nasdaq Minimum Price Rule
Reverse split ratio 1-for-15 Common stock consolidation
Current issued shares 24,787,446 shares Before the reverse split
Resulting issued shares 1,652,518 shares After the 1-for-15 reverse split
Comparable reverse splits 24 reverse stock splits Nasdaq-listed biotech companies from January 1 to June 30, 2026
Average comparable ratio 1-for-18 24 Nasdaq-listed biotech reverse splits
Authorized shares 220,000,000 to 14,666,667 Authorized shares before and after the reverse split

Historical Context

5 past events · Latest: Jul 06 (Positive)
Pattern 5 events
Date Event Sentiment 24h Move Catalyst
Jul 06 Business development update Positive -0.1% Reported strong partner discussions following the BIO International Convention.
Jun 25 Human study dosing Neutral +0.0% Began scheduled dosing in a five-week oral semaglutide pilot study.
Jun 23 Animal study dosing Neutral -2.6% Started scheduled dosing in an 11-arm next-generation GLP-1 study.
Jun 17 GLP-1 market update Positive +3.6% Discussed expanding GLP-1 markets and DehydraTECH development activity.
Jun 09 Animal study update Positive +3.3% Completed dosing in an 18-arm study of next-generation GLP-1 formulations.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

The last five general news events produced mixed 24-hour reactions, with positive moves of 3.65% and 3.31% alongside declines of 2.63% and 0.11%.

Key Terms

reverse stock split, minimum price rule, convertible securities, cusip number
4 terms
reverse stock split financial
"intends to effect a reverse stock split of its common stock effective as of 12:01 am EST"
A reverse stock split reduces a company's number of outstanding shares while raising the price per share proportionally, so the total value of each investor's holding is unchanged; a 1-for-10 split turns 100 shares worth $1 each into 10 shares worth $10 each. Companies often do this to regain compliance with an exchange's minimum price rule or to attract investors who avoid very low-priced stocks.
minimum price rule regulatory
"Nasdaq Listing Rule 5550(a)(2) (the "Minimum Price Rule")"
A minimum price rule is an exchange or regulator requirement that a listed security maintain a share price above a specified threshold over a given time period, or else face consequences such as warnings, transfer to a different trading tier, or delisting. It matters to investors because it can affect a stock’s ability to trade normally, its liquidity and market perception; like a store that pulls items priced below a set tag, crossing the threshold can trigger automatic actions that change how and where the stock trades.
convertible securities financial
"the Company's number of authorized shares and issued convertible securities"
Convertible securities are bonds or preferred shares that can be exchanged for a company’s common stock at a predetermined price or under specified conditions. They matter because they combine the steadiness of a loan or fixed dividend with the potential upside of ownership; like a safety‑net that carries a one‑time ticket to become a shareholder, they affect expected returns and can dilute existing stock if converted.
View in glossary
cusip number technical
"will bear the new CUSIP number 52886N604"
A CUSIP number is a nine-character code that uniquely identifies a specific U.S. or Canadian stock, bond, or other security, similar to a barcode or a social-security number for a financial instrument. It matters to investors because it removes confusion between similar securities, ensures trades and settlements are applied to the correct issue, and helps locate official documents and transaction records quickly.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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KELOWNA, BC / ACCESS Newswire / July 30, 2026 / Lexaria Bioscience Corp. (Nasdaq:LEXX) (the "Company" or "Lexaria"), a global innovator in drug delivery platforms, announces that it intends to effect a reverse stock split of its common stock effective as of 12:01 am EST on August 3, 2026 (the "Reverse Split").

The primary goal of the Reverse Split is to increase the per Share market price of the Company's Shares with the objective of regaining compliance with the NASDAQ Capital Market's ("Nasdaq") minimum $1.00 bid price per share requirement of Nasdaq Listing Rule 5550(a)(2) (the "Minimum Price Rule"). The Reverse Split is also being performed in an effort to stabilize uncertain stock conditions in the face of a number of critical business drivers which we believe to be in the best immediate and long-term interests of our shareholders.

"The Reverse Split is a critical step towards our continued listing on Nasdaq," stated Richard Christopher, CEO of Lexaria Bioscience Corp. "We have determined that it is prudent and extremely important that the Reverse Split is conducted sooner rather than later," continued Mr. Christopher. "Nasdaq compliance is impactful to Lexaria on so many levels including our ability to attract new business development partners, advance existing business development discussions, and broaden our overall investor appeal. Recent equity market weakness is at odds with the great potential of our technology, and the Company needs a stable foundation in order to take advantage of existing and upcoming opportunities."

The Reverse Split will be conducted on a 1-for-15 basis resulting in the Company's current issued share capital of 24,787,446 shares of common stock ("Shares") being consolidated into 1,652,518 Shares, subject to further adjustment for fractional Shares which will be rounded up to the nearest whole number. In addition, the Company's number of authorized shares and issued convertible securities (options and warrants) will also be subject to the Reverse Split, with the exercise prices of the Company's outstanding convertible securities being adjusted accordingly. In arriving at the Reverse Split ratio, the Company also examined 24 other reverse stock splits conducted by Nasdaq listed biotech companies from January 1 to June 30, 2026, wherein the average reverse split ratio was 1-for-18.

In proactively performing this Reverse Split contemporaneous with the end of our 180-day compliance period we anticipate requesting the required Nasdaq hearing to appeal any delisting notification, and we expect to comply with the Minimum Price Rule in mid-August before any such hearing takes place.

The Shares issued pursuant to the Reverse Split will remain fully paid and non-assessable. The Reverse Split will also consolidate the number of authorized Shares from 220,000,000 authorized to 14,666,667 authorized but will not affect the par value of the Shares. Thus, all shareholders will own the same percentage interest in the Company after the Reverse Split, as they do prior to the Reverse Split.

Following the Reverse Split, the resulting Shares will continue to be traded on the Nasdaq under the stock symbol LEXX but will bear the new CUSIP number 52886N604.

Shareholders of the Company who hold Shares represented by a physical share certificate will need to contact Computershare Trust Company of Canada, as follows, for further information, related costs and procedures before sending any physical share certificates to reflect the Reverse Split adjustment:

PO Box 7023
31 Adelaide Street East
Toronto, ON M5C 2K4
Phone: 1-800-564-6253
Email: corporateactions@computershare.com

About Lexaria Bioscience Corp. & DehydraTECH

DehydraTECH is Lexaria's patented drug delivery formulation and processing platform technology which improves the way a wide variety of drugs enter the bloodstream, always through oral delivery. DehydraTECH has repeatedly evidenced the ability to increase bio-absorption, reduce side-effects, and deliver some drugs more effectively across the blood brain barrier. Lexaria operates a licensed in-house research laboratory and holds a robust intellectual property portfolio with 66 patents granted and additional patents pending worldwide. For more information, please visit www.lexariabioscience.com.

CAUTION REGARDING FORWARD-LOOKING STATEMENTS

This press release includes forward-looking statements. Statements as such term is defined under applicable securities laws. These statements may be identified by words such as "anticipate," "if," "believe," "plan," "estimate," "expect," "intend," "may," "could," "should," "will," and other similar expressions. Such forward-looking statements in this press release include, but are not limited to, statements by the Company relating to the Company's ability to carry out research initiatives, receive regulatory approvals or grants or experience positive effects or results from any research or study. Such forward-looking statements are estimates reflecting the Company's best judgment based upon current information and involve a number of risks and uncertainties, and there can be no assurance that the Company will actually achieve the plans, intentions, or expectations disclosed in these forward-looking statements. As such, you should not place undue reliance on these forward-looking statements. Factors which could cause actual results to differ materially from those estimated by the Company include, but are not limited to, government regulation and regulatory approvals, managing and maintaining growth, the effect of adverse publicity, litigation, competition, scientific discovery, the patent application and approval process, potential adverse effects arising from the testing or use of products utilizing the DehydraTECH technology, the Company's ability to maintain existing collaborations and realize the benefits thereof, delays or cancellations of planned R&D that could occur related to pandemics or for other reasons, and other factors which may be identified from time to time in the Company's public announcements and periodic filings with the US Securities and Exchange Commission on EDGAR. The Company provides links to third-party websites only as a courtesy to readers and disclaims any responsibility for the thoroughness, accuracy or timeliness of information at third-party websites. There is no assurance that any of Lexaria's postulated uses, benefits, or advantages for the patented and patent-pending technology will in fact be realized in any manner or in any part. No statement herein has been evaluated by the Food and Drug Administration (FDA). Lexaria-associated products are not intended to diagnose, treat, cure or prevent any disease. Any forward-looking statements contained in this release speak only as of the date hereof, and the Company expressly disclaims any obligation to update any forward-looking statements or links to third-party websites contained herein, whether as a result of any new information, future events, changed circumstances or otherwise, except as otherwise required by law.

INVESTOR CONTACT:

George Jurcic - Head of Investor Relations
ir@lexariabioscience.com
Phone: 250-765-6424, ext 202

SOURCE: Lexaria Bioscience Corp.



View the original press release on ACCESS Newswire

FAQ

What is the effective date of Lexaria Bioscience (LEXX) reverse stock split?

Lexaria’s reverse stock split becomes effective at 12:01 a.m. EST on August 3, 2026. According to Lexaria, this timing aligns with the end of its 180-day Nasdaq compliance period as it seeks to address minimum bid price requirements.

What is the reverse stock split ratio for Lexaria Bioscience (NASDAQ:LEXX)?

Lexaria is implementing a 1-for-15 reverse stock split of its common shares. According to Lexaria, approximately 24,787,446 issued shares will consolidate into about 1,652,518 shares, with fractional shares rounded up to the nearest whole share.

Why is Lexaria Bioscience (LEXX) doing a reverse stock split in August 2026?

Lexaria is conducting the reverse split to help regain compliance with Nasdaq’s $1.00 minimum bid price rule. According to Lexaria, the action also aims to stabilize stock conditions and support business development and investor appeal.

How will Lexaria’s (LEXX) reverse stock split affect authorized and outstanding shares?

The split will consolidate about 24.79 million issued shares into roughly 1.65 million and reduce authorized shares from 220,000,000 to about 14,666,667. According to Lexaria, shareholder ownership percentages remain unchanged and par value is not affected.

Will Lexaria Bioscience (NASDAQ:LEXX) change its ticker or CUSIP after the reverse split?

Lexaria will continue trading on Nasdaq under the LEXX ticker after the split. According to Lexaria, the common shares will receive a new CUSIP number, 52886N604, reflecting the post-split capital structure.

What happens to Lexaria (LEXX) options, warrants, and fractional shares after the reverse split?

Lexaria’s outstanding options and warrants will be adjusted for the 1-for-15 ratio, including exercise prices. According to Lexaria, fractional shares from the split will be rounded up to the nearest whole share rather than paid in cash.

What must Lexaria Bioscience (LEXX) shareholders with paper certificates do after the reverse split?

Shareholders holding physical certificates must contact Computershare Trust Company of Canada before sending certificates. According to Lexaria, Computershare will provide details on costs and procedures for exchanging certificates to reflect the reverse split adjustment.