Company: TVRD
Filing Date: 2025-01-27
Form Type: S-4/A
Source: 0001104659-25-006050
Chunk: 397

Company: Tvardi Therapeutics, Inc.
Filing Date: 2025-01-27
Form: S-4/A
Chunk 397
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 the last trading day immediately prior to the date on which the Effective Time occurs. Each certificate that immediately prior to the Effective Time represented shares of Common Stock (Old Certificates), shall thereafter represent that number of shares of Common Stock into which the shares of Common Stock represented by the Old Certificate shall have been combined, subject to the elimination of fractional share interests as described above. The Reverse Stock Split will be effected simultaneously for all outstanding shares of Cara common stock. The Reverse Stock Split will affect all of Cara’s stockholders uniformly and will not affect any stockholder’s percentage ownership interest in Cara, except to the extent that the Reverse Stock Split results in any of Cara’s stockholders owning a fractional share. Shares of Cara common stock issued pursuant to the Reverse Stock Split will remain fully paid and nonassessable. The Reverse Stock Split does not affect the total proportionate ownership of Cara following the Merger. The Reverse Stock Split will not affect Cara continuing to be subject to the periodic reporting requirements of the Exchange Act. As an example, the following table illustrates the effects of a-for-1 to-for-1 reverse stock split (without giving effect to the treatment of fractional shares):

| ​                                                              | ​ | ​                | ​ | ​                  | ​ | ​                |
| ​                                                              | ​ | ​                | ​ | After       -for-1 | ​ | After     -for-1 |
| ​                                                              | ​ | Prior to Reverse | ​ | Reverse Stock      | ​ | Reverse Stock    |
| ​                                                              |   | Stock Split      |   | Split              |   | Split            |
| Common stock outstanding                                       | ​ | ​                | ​ | ​                  | ​ | ​                |
| Common stock issuable pursuant to outstanding equity awards(1) | ​ | ​                | ​ | ​                  | ​ | ​                |

| (1) | Includes RSUs. Substantially all options underlying these awards have an exercise price higher than $         per share, the closing price of Cara common stock on. |

In addition, if the reverse stock split is implemented, it will increase the number of Cara stockholders who own “odd lots” of fewer than 100 shares of common stock. Brokerage commission and other costs of transactions in odd lots are generally higher than the costs of transactions of more than 100 shares of common stock. Accordingly, the reverse stock split may not achieve the desired results of increasing marketability and liquidity of Cara common stock that have been described above. After the effective date of the reverse