Outlook Therapeutics is trading 8.9% down at $1.35 following a special shareholder meeting that approved an increase in authorized common shares and a potential reverse stock split.
- The board was granted authority to implement a reverse split at a ratio between 1-for-10 and 1-for-50 to manage the company's capital structure.
- Investors are reacting to concerns regarding potential future equity dilution and overall balance sheet fragility.
- The decline is exacerbated by broader selling pressure within the biotech sector and a general risk-off sentiment affecting growth stocks.