MDxHealth (NASDAQ: MDXH) (OTC: MXDFH) (EUR: MDXH) will either rise 1,000% today or stay just the same. It depends upon which of the quotes we desire to look at. This is, of course, a nominal stock price move, not a change in the real price. The real price could change any way it likes, as it did by 13% yesterday. It is, as they say, somewhat complex.
The business line: “MDxHealth SA, a commercial-stage precision diagnostics company, provides urologic solutions in the United States, Europe, and internationally. Its novel prostate cancer genomic testing solutions are SelectMDx, a non-invasive urine test; and ConfirmMDx, an epigenetic test, which provide physicians with a clinical pathway to identify clinically prostate cancer while minimizing the use of invasive procedures”
OK, and it’s suffered from some of the usual glitches along the way. Getting registered so that Medicare (an obvious target market for a prostate test) would pay has been a trial for example. But this stock price move - or not price move, depends on the quote - is not about the performance of the business, it’s a nominal change in the capital structure.
One point is that the Euronext quotation is to disappear entirely: “MDxHealth SA (NASDAQ/Euronext Brussels: MDXH) (the "Company" or "mdxhealth"), a commercial-stage precision diagnostics company, today announces that the extraordinary general shareholders' meeting of the Company that was held on November 3, 2023 ("EGM") approved the proposed transition from a dual listing of the Company's American Depositary Shares (the "ADSs") on Nasdaq and ordinary shares (the "Shares") on Euronext Brussels to a sole listing of Shares on Nasdaq (the "Transaction"), as well as the share consolidation with respect to all outstanding Shares by means of a 1-for-10 reverse stock split (the "Share Consolidation").”
OK, that means that EUR MDXH and also OTC MXDFH should both rise 1,000% and also disappear. The disappearance won’t be quite yet though: “following a transition period of at least three weeks after the Mandatory ADS Exchange (the “Transition Period”), the de-listing of the Shares from listing and trading on Euronext Brussels (the “De-Listing”).” And then there’s this: “As a result of the Share Consolidation, all Company's American
Depositary Shares ("ADSs"), trading on Nasdaq, now represent one (1) new share (instead of ten (10) old share previously),”.
So, the Euronext shares go up 1,000%. But the Nasdaq listed ADRs have the same share consolidation and also that ratio chance, leaving them unchanged. All slightly complicated but leaving the company with one quote and one share class.