GlucoTrack Inc. (NASDAQ:GCTK) shares climbed 15.98% to $0.58 in after-hours trading on Thursday.
The late trading session surge reverses a 5.48% intraday decline, which closed the stock of the medical device company at $0.50, according to Benzinga Pro data.
Merger Reshapes Company Structure
GlucoTrack announced on Tuesday the completion of its strategic business combination with Lokahi Therapeutics, a capital-efficient biopharmaceutical platform company based in California.
Under the agreement, Lōkahi will serve as the operating and controlling business of the combined company. Once the required stockholder approvals are obtained and Nasdaq listing requirements are satisfied, the preferred stock is expected to convert into common stock. Following this conversion, Lokahi securityholders are expected to hold approximately 90% ownership of the combined company on a fully diluted basis.
Leadership Changes, Legacy Business Spun Off
Erik Emerson was named CEO of the combined company, while Paul Goode becomes Chief Technical Officer and CEO of GlucoTrack’s continuous blood glucose monitoring (CBGM) subsidiary, which will operate separately.
Emerson said, “This transaction establishes a capital-efficient, publicly listed platform designed to systematically identify, acquire, and advance differentiated healthcare assets.” A planned private placement is expected to support near-term execution, the company added.
Trading Metrics, Technical Analysis
GlucoTrack has a market capitalization of approximately $3.12 million. Its stock has traded between a 52-week high of $14.14 and a 52-week low of $0.29.
The company has 6.26 million shares outstanding, with short interest representing 8.17% of its available float.
GCTK has a Relative Strength Index (RSI) of 58.13.
Over the past 12 months, the stock has declined by 91.55%, but it has gained 31.58% over the past month.
The small-cap stock of the New Jersey-based healthcare company is currently trading near its lowest level of the year.
Benzinga’s Edge Stock Rankings indicate GCTK stock has a negative price trend across all time frames.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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