CytRx Corporation (OTCMKTS: CYTR), announced that its Board of Directors declared a dividend of one one-thousandth of a share of newly designated Series D Preferred Stock, par value $0.01 per share, for each outstanding share of the company’s common stock held of record as of 5:00 pm Eastern Time on May 20, 2022.
Market Reaction
On Thursday, CYTR stock ended flat at $0.13 with 29K shares, compared to its average volume of 188K shares. The stock moved within a range of $0.1300 – 0.1343 after opening trade at $0.1258.
Outstanding shares of Series D Preferred Stock will vote together with the outstanding shares of the company’s common stock, as a single class. This is in alignment with a proposal to give the company’s Board of Directors discretion to implement a reverse stock split in connection with meeting the initial listing requirements of a national securities exchange.
It is also in agreement with a proposal to adjourn any meeting of stockholders called for the purpose of voting on the reverse stock split, and will not be entitled to vote on any other matter, except to the extent required under the Delaware General Corporation Law. Each outstanding share of Series D Preferred Stock will have 1,000,000 votes per share.
The company is a biopharmaceutical innovator focused on the research and development of life-saving cancer therapeutics. The Series D Preferred Stock will be uncertificated, and no shares of Series D Preferred Stock will be transferable by any holder thereof except in connection with a transfer by such holder of any shares of the Company’s common stock held by such holder.
Traders Review
CYTR stock is trading below the 20-Day and 50-Day Moving averages of $0.14 and $0.23 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.49.
