Psyence BioMed Announces Effective Date for 1-for-6.25 Reverse Stock Split
Rhea-AI Summary
Psyence BioMed (Nasdaq: PBM) announced its 1-for-6.25 reverse stock split will become effective at market open on February 2, 2026. The consolidation changes issued and outstanding common shares from 6,388,604 to 1,022,177 and keeps the ticker PBM.
Outstanding warrants and equity instruments will be adjusted proportionately; new CUSIP is 74449F407. No fractional shares will be issued; fractions are rounded per disclosed rules. Book-entry holders need take no action; beneficial holders should consult brokers.
Positive
- Post-consolidation share count reduced to 1,022,177 outstanding
- Common shares will continue trading on Nasdaq under symbol PBM
- Outstanding warrants and equity instruments adjusted proportionately
Negative
- Beneficial holders may experience delays reflecting the consolidation in brokerage accounts
- Fractional-share rounding may cause minor changes to individual holdings
News Market Reaction
On the day this news was published, PBM gained 22.01%, reflecting a significant positive market reaction. Argus tracked a peak move of +27.8% during that session. Our momentum scanner triggered 18 alerts that day, indicating notable trading interest and price volatility. This price movement added approximately $157K to the company's valuation, bringing the market cap to $868,850 at that time. Trading volume was very high at 3.3x the daily average, suggesting strong buying interest.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
PBM’s pre-news price was up 22.01% with elevated volume, while key biotech peers showed mixed moves: SLRX up 18.98%, PTIX up 15.64%, SCNI down 5.5%. Momentum scans only flagged VRAX, down 5%, reinforcing that PBM’s action appears stock-specific rather than a broad sector rotation.
Previous Stock split Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Jan 20 | Reverse split postponed | Neutral | -79.2% | Board postponed previously announced 1-for-6.25 reverse stock split effective date. |
| Jan 14 | Reverse split effective date | Neutral | -0.5% | Set January 20, 2026 as first effective date for 1-for-6.25 reverse split. |
| May 01 | Prior reverse split | Neutral | -3.6% | Announced 1-for-7.97 reverse split effective May 5, 2025 to regain Nasdaq compliance. |
Recent reverse split–related announcements have generally coincided with negative price reactions, including moves of -79.2%, -3.59%, and a modest -0.54%.
Over the past year, PBM has repeatedly used share consolidations to manage its capital structure. A 1-for-7.97 reverse split effective May 5, 2025 reduced outstanding shares from 4,648,610 to 583,263. More recently, the company announced, then postponed, and then re-clarified a 1-for-6.25 reverse split cutting shares to about 1,022,177. These actions sit alongside a buyback framework and operational updates, framing a period of intensive capital-structure management.
Historical Comparison
PBM has issued three reverse-split announcements since 2025 tagged as stock splits, with an average move of 27.78% and individual reactions ranging from mild to sharply negative.
The company progressed from a 1-for-7.97 reverse split in 2025 to a planned 1-for-6.25 split in 2026, including an initial effective date, a postponement, and now a newly specified effective date for the same consolidation ratio.
Market Pulse Summary
The stock surged +22.0% in the session following this news. A strong positive reaction aligns with PBM’s history of sizeable moves around capital-structure events, where prior stock split headlines saw swings up to an average of 27.78%. However, earlier reverse split communications often coincided with negative single-day moves, such as -79.2%. This pattern suggests that enthusiasm could reverse if sentiment shifts on governance, financing, or liquidity, so traders have historically faced elevated event-driven volatility around similar announcements.
Key Terms
reverse stock split financial
cusip financial
warrants financial
beneficial holders financial
exchange agent financial
AI-generated analysis. Not financial advice.
NEW YORK, Jan. 28, 2026 (GLOBE NEWSWIRE) -- Psyence Biomedical Ltd. (Nasdaq: PBM) (“Psyence BioMed” or the “Company”), today announced the effective date of its 1-for-6.25 share consolidation (reverse stock split) of the Company's issued and outstanding common shares. As previously disclosed, the Company’s Board of Directors approved a reverse stock split at a ratio of 1-for-6.25, which was intended to become effective at the opening of the market on January 20, 2026, however, following further internal consideration, the Company yesterday announced that it had elected to delay the effectiveness of the reverse stock split to a later date.
At a Special Meeting of Stockholders held on April 16, 2025, shareholders approved a special resolution authorizing the Board of Directors, at any time prior to the next annual meeting of shareholders, to implement a share consolidation at a ratio of up to 1-for-50, with the exact timing and consolidation ratio to be determined in the Board’s sole discretion. Following this approval, the Company's Board of Directors initially authorized a 1-for-7.97 consolidation ratio which was implemented Monday, May 5, 2025. On December 4, 2025, the board approved a second share consolidation at a ratio of 1-for-6.25.
The Company's common shares are expected to begin trading on a post-consolidated basis at the opening of the market on February 2, 2026. Following the consolidation, the Company's common shares will continue to trade under the symbol "PBM" on the Nasdaq Capital Market, with a new CUSIP number 74449F407.
At the effective time of the consolidation, every 6.25 issued and outstanding shares of the Company will automatically be combined into one issued and outstanding common share. The number of shares and the exercise price of the Company's outstanding warrants and other equity instruments will also be adjusted proportionately in accordance with their respective terms. As of January 21, 2026, the Company had 6,388,604 common shares issued and outstanding. As a result of the consolidation, the Company will have 1,022,177 common shares issued and outstanding.
No fractional shares will be issued in connection with the consolidation. Any fractional share resulting from the consolidation will be rounded down to the nearest whole share if the fraction is less than one-half of a share and rounded up to the nearest whole share if the fraction is at least one-half of a share. The consolidation affects all shareholders uniformly and will not alter any shareholder's percentage interest in the Company, except for minor adjustments resulting from the treatment of fractional shares. The share consolidation occurs at the registered shareholder level. Shareholders who hold their common shares through brokers, banks, or other nominees (i.e., in 'street name') are considered beneficial holders and may experience a delay in the reflection of the consolidation in their accounts, depending on the procedures of their broker, bank, or nominee.
Continental Stock Transfer & Trust Company is acting as the exchange agent and transfer agent for the consolidation. Shareholders holding their shares in book-entry form or through brokerage accounts are not required to take any action. Beneficial holders are encouraged to contact their broker, bank, or custodian with any questions regarding the effect of the share consolidation.
About Psyence BioMed
Psyence Biomedical Ltd. (Nasdaq: PBM) is one of the few multi-asset, vertically integrated biopharmaceutical companies specializing in psychedelic-based therapeutics. It is the first life sciences biotechnology company focused on developing nature-derived (non-synthetic) psilocybin and ibogaine-based psychedelic medicine to be listed on Nasdaq. We are dedicated to addressing unmet mental health needs. We are committed to an evidence-based approach in developing safe, effective, and FDA-approved nature-derived psychedelic treatments for a broad range of mental health disorders.
Contact Information for Psyence Biomedical Ltd.
Email: ir@psyencebiomed.com
Media Inquiries: media@psyencebiomed.com
General Information: info@psyencebiomed.com
Investor Contact:
Michael Kydd
Investor Relations Advisor
michael@psyencebiomed.com
Forward Looking Statements
This communication contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about future financial and operating results, our plans, objectives, expectations, and intentions with respect to future operations, products and services; and other statements identified by words such as “will likely result,” “are expected to,” “will continue,” “is anticipated,” “estimated,” “believe,” “intend,” “plan,” “projection,” “outlook” or words of similar meaning.
Forward-looking statements in this communication include statements regarding the timing and implementation of the share consolidation, the expected timing for the Company’s common shares to begin trading on a post-consolidated basis, the Company’s ability to maintain compliance with Nasdaq’s continued listing standards, the anticipated effects of the share consolidation (including on the market price of the Company’s common shares), the issuance of a new CUSIP number, and the expected timing of adjustments to outstanding warrants and other equity instruments and the reflection of the share consolidation in brokerage and other accounts. These statements are based on current assumptions and expectations, including that the share consolidation will become effective as anticipated, and that the Company will continue to meet Nasdaq’s ongoing listing standards. These assumptions may prove incorrect. There can be no assurance that the Company will continue to maintain compliance with Nasdaq’s continued listing requirements. There are numerous risks and uncertainties that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements.
These risks and uncertainties include, among others: (i) delays or challenges in completing the share consolidation; (ii) the Company’s ability to maintain compliance with Nasdaq’s continued listing standards; (iii) potential volatility in the Company’s share price following the consolidation; (iv) changes in the regulatory, competitive, and economic landscape; (v) risks associated with the Company’s development plans and clinical trials; and (vi) risks related to the Company’s corporate authorizations for the share consolidation, including the possibility of claims or proceedings challenging the validity, interpretation or sufficiency of the shareholder resolutions authorizing the share consolidation. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of the Company’s final prospectus (File No. 333-298285) filed with the Securities and Exchange Commission (the “SEC”) on November 3, 2025 and other documents filed by Psyence BioMed from time to time with the SEC.
These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Actual results and future events could differ materially from those anticipated in such statements. Nothing in this communication should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. Except as required by law, Psyence BioMed does not intend to update these forward-looking statements.
The Company does not make any medical, treatment or health benefit claims about its proposed products. The U.S. Food and Drug Administration, Health Canada or other similar regulatory authorities have not evaluated claims regarding psilocybin, psilocybin analogues, or other psychedelic compounds or nutraceutical products. The efficacy of such products has not been confirmed by authorized clinical research. There is no assurance that the use of psilocybin, psilocybin analogues, or other psychedelic compounds or nutraceuticals can diagnose, treat, cure or prevent any disease or condition. Vigorous scientific research and clinical trials are needed. The Company’s product candidates are investigational and have not been approved by any regulatory authority for use in the treatment of any disease or condition, and clinical results (if any) may not be indicative of future results. Any references to quality, consistency, efficacy, and safety of potential products do not imply that the Company has verified such in clinical trials or that the Company will complete such trials. If the Company cannot obtain the approvals or research necessary to commercialize its business, it may have a material adverse effect on the Company’s performance and operations.
FAQ
When will Psyence BioMed (PBM) reverse stock split become effective?
How many Psyence BioMed (PBM) shares will be outstanding after the 1-for-6.25 consolidation?
Will Psyence BioMed (PBM) shareholders need to take action for the reverse split?
What happens to Psyence BioMed (PBM) fractional shares from the consolidation?
Will Psyence BioMed (PBM) warrants and equity instruments be affected by the reverse split?
