iSpecimen Announces 1-for-40 Reverse Stock Split: What Investors Need to Know

Key Highlights

• iSpecimen Inc. (Nasdaq: ISPC) is implementing a 1-for-40 reverse stock split of its common stock.
• The reverse split will take effect at 4:30 p.m. Eastern Time on April 27, 2026, with split-adjusted trading commencing on April 28, 2026.
• Shares outstanding will decrease significantly, from 52,639,796 to approximately 1,316,032.
• The split is intended to help ISPC regain compliance with Nasdaq’s minimum bid price requirement and attract institutional investors.
• The new CUSIP number for the stock post-split will be 45778V306.
• Shareholder approval for the reverse split was obtained at the October 30, 2025 special meeting, allowing the Board to choose a ratio between 1-for-10 and 1-for-100. The Board selected 1-for-40 on April 9, 2026.

Details of the Reverse Split

The reverse stock split will consolidate every 40 shares of issued and outstanding common stock into one share, without altering the par value of \$0.0001 per share. All treasury shares will be similarly consolidated. This measure is expected to result in a dramatic reduction of the number of shares outstanding, which can have several potential impacts on the trading dynamics and valuation of the company.

Adjustments will also occur for:

• Outstanding stock options and warrants (exercise prices and number of shares issuable will be proportionately adjusted)
• Restricted stock units (number of shares issuable upon vesting will be adjusted accordingly)
• The number of shares reserved under stock incentive plans (proportionate reduction)
• Fractional shares resulting from the split will be rounded up to the nearest whole share at the participant level

What Shareholders Need to Know

• Shareholders do not need to take any action if their holdings are in book-entry form; the transfer agent, Broadridge Corporate Issuer Solutions, LLC, will act as the exchange agent and provide further instructions if necessary.
• Physical certificate holders or those with shares in brokerage accounts should watch for communications from Broadridge regarding exchanging pre-split for post-split shares.
• The company’s stock will continue trading under the symbol ISPC on the Nasdaq Capital Market.
• This action is explicitly aimed at regaining compliance with the Nasdaq minimum bid price requirement, which is a critical listing standard. Non-compliance could result in delisting and can have a severe impact on share liquidity and value.

Potential Price Sensitivity and Impact

The reverse stock split is a significant corporate action that could have a meaningful effect on iSpecimen’s share price and investor sentiment. Typically, reverse splits are undertaken to boost the stock price per share, which, in turn, can help attract new classes of institutional investors who may be restricted from buying stocks below certain price thresholds. Additionally, maintaining a Nasdaq listing is vital for liquidity and ongoing investor interest.

However, investors should note that while the market capitalization does not change as a result of a reverse split, the perception of financial strength or weakness can influence trading behavior and short-term share price movement.

The company’s management highlighted that this move aligns with strategic objectives to ensure compliance and potentially broaden the shareholder base, though the long-term impact will depend on future company performance and market conditions.

About iSpecimen

iSpecimen operates an online marketplace connecting scientists and researchers with healthcare providers for access to biospecimens essential for medical research and discovery. The company uses proprietary, cloud-based technology to facilitate intuitive searches for specimens and patients across a federated partner network, including hospitals, labs, biobanks, and blood centers. For additional information, visit www.ispecimen.com.

Forward-Looking Statements

This announcement includes forward-looking statements regarding the anticipated benefits and effects of the reverse stock split, compliance with listing requirements, and potential impacts on the company’s marketability and investor base. These statements are subject to risks and uncertainties, including those detailed in iSpecimen’s SEC filings.

Contact Information

For further inquiries, shareholders and media are encouraged to contact:
[email protected]

Disclaimer: This article is for informational purposes only and does not constitute financial advice or an offer to buy or sell any securities. Investors should perform their own due diligence and consult with their financial advisors before making investment decisions. The company assumes no obligation to update forward-looking statements contained herein.

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