STAFFORD, Texas - Greenwich LifeSciences, Inc. (NASDAQ:GLSI), a clinical-stage biopharmaceutical company, announced its upcoming inclusion in the Russell 2000 and Russell 3000 Indexes, effective after the US markets open on July 1, 2024. This inclusion follows the annual reconstitution of the Russell indexes, with the updated list of additions released on June 21, 2024.
The company's CEO, Snehal Patel, noted that this development might lead to increased institutional ownership, as experienced in 2021. The recognition comes amid the expansion of their Phase III clinical trial, FLAMINGO-01, into Europe and the increase of global clinical sites to up to 150.
FLAMINGO-01 is a significant trial designed to assess the safety and efficacy of GLSI-100, an immunotherapy for HER2 positive breast cancer patients post-surgery and trastuzumab-based treatment. The trial, led by Baylor College of Medicine, aims to detect a hazard ratio of 0.3 in invasive breast cancer-free survival with a sample size that provides an 80% power if the annual rate of events in placebo-treated subjects is 2.4% or greater.
The Russell 2000 Index is a small-cap stock market index that is part of the broad-market Russell 3000 Index. The indexes are widely used by investment funds and investors for index funds and as benchmarks for active investment strategies. FTSE Russell, the global index provider responsible for the Russell indexes, bases membership on objective market-capitalization rankings and style attributes.
Greenwich LifeSciences is focused on the development of its immunotherapy, GP2, to prevent breast cancer recurrences. The company is currently moving forward with its Phase III trial, FLAMINGO-01, and continues to provide information on the trial and its progress.
The information provided above is based on a press release statement from Greenwich LifeSciences, Inc.
In other recent news, Greenwich LifeSciences, Inc. has entered into a securities purchase agreement with its CEO, Snehal Patel. As per the agreement, Patel has committed to purchase 174,825 shares of the company's common stock at $14.30 per share in a private placement. The transaction, slated to close around June 18, 2024, is expected to generate approximately $2.5 million in gross proceeds for Greenwich LifeSciences, with these funds earmarked for clinical development and general working capital needs.
Notably, Patel has agreed to a one-year lock-up period for the acquired shares, which are classified as restricted securities under Rule 144 of the Securities Act of 1933. The shares involved in this transaction have not been registered under the Securities Act or any state securities laws, and therefore, cannot be sold in the United States absent registration or an exemption from such requirements.
InvestingPro Insights
As Greenwich LifeSciences, Inc. (NASDAQ:GLSI) prepares to join the Russell 2000 and Russell 3000 Indexes, a look at the company's financial health and stock performance through InvestingPro provides a nuanced perspective for investors. With a market capitalization of 198.09 million USD, GLSI's inclusion in these indexes could potentially attract more attention from institutional investors and funds that track small-cap companies.
InvestingPro Tips highlight that GLSI has experienced strong returns over the last year, with a 58.56% one-year price total return as of the middle of 2024, which could signal confidence in the company's prospects or market excitement about its clinical developments. Additionally, the company's liquid assets surpass short-term obligations, indicating a strong liquidity position that may support ongoing clinical trials and operational needs.
However, the company's financials also reflect some challenges. GLSI is not currently profitable, with a negative operating income of -9.62 million USD over the last twelve months as of Q1 2024. Moreover, the stock is trading at a high Price / Book multiple of 38.68, which could suggest that the stock is relatively expensive compared to the company's book value.
Investors considering GLSI will find additional insights on InvestingPro, including a total of 10 InvestingPro Tips that could help in making a more informed investment decision. For those interested in delving deeper, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription at InvestingPro.
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