Item 5. Market for Registrant’s Common Equity
Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities.
Our common stock began trading on the Nasdaq Global Select Market on July 23, 2021 and trades under the symbol “CTKB”. Prior to July 23, 2021, there was no public trading market for our common stock.
Holders of Record
As of February 16, 2024, there were approximately 21 stockholders of record. Because brokers and other institutions hold many of our shares on behalf of stockholders, we are unable to estimate the total number of stockholders represented by these record holders.
Dividend Policy
We have never declared or paid any cash dividends on our capital stock and we do not currently intend to pay any cash dividends on our capital stock for the foreseeable future. We currently intend to retain all available funds and any future earnings to support operations and to finance the growth and development of our business. Any future determination to pay dividends will be made at the discretion of our board of directors, subject to applicable laws and will depend upon, among other factors, our results of operations, financial condition, contractual restrictions and capital requirements.
Recent Sales of Unregistered Equity Securities
None.
Use of Proceeds
In July 2021, we issued and sold an aggregate of 13,949,401 shares of common stock in connection with our IPO, including the full exercise by the underwriters of their option to purchase an additional 2,184,695 shares from us, and the selling stockholders sold 2,799,929 shares of common stock, at a public offering price of $17.00 per share. All of the shares of common stock issued and sold in our IPO were registered under the Securities Act pursuant to a registration statement on Form S-1 (Registration No. 333-257663), which was declared effective by the SEC on July 22, 2021. There has been no material change in the use of proceeds from our IPO from those disclosed in the final prospectus for our IPO dated July 22, 2021 and filed with the SEC pursuant to Rule 424(b)(4) of the Securities Act on July 23, 2021.
Issuer Purchases of Equity Securities
On May 17, 2023, the Board approved a program for the repurchase of up to an aggregate of $50 million of our outstanding common stock. The repurchase program expired on December 31, 2023 with a remaining unused balance of $6.0 million.
The following table provides information with respect to the repurchase of shares of our common stock from the commencement of the repurchase program until its expiration on December 31, 2023.
(Except for the share amount and average price per share, dollar value in thousands)
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Total number of shares repurchased Average price paid for share Total number of shares purchased as part of publicly announced plans or programs Maximum dollar that may yet be purchased under the plans or programs
May 19 - May 31, 2023 100,623 $ 7.75 100,623 $ 49,220
June 1 - June 30, 2023 25,159 7.89 125,782 49,021
July 1 - July 31, 2023 — — 125,782 49,021
August 1- August 31,2023 295,574 7.66 421,356 46,758
September 1- September 31, 2023 859,655 7.14 1,281,011 40,616
October 1 - October 31, 2023 — — 1,281,011 40,616
November 1 - November 30, 2023 3,964,765 6.19 5,245,776 16,094
December 1 - December 31, 2023 1,368,004 7.39 6,613,780 5,981
Year to Date Total 6,613,780 $ 6.66 6,613,780 $ 5,981
The repurchase program was used to return capital to shareholders and to minimize the dilutive impact of stock options and other share-based awards. The repurchased shares of common stock were retired. The commissions costs related with the repurchases were $0.1 million for both the three months and twelve months ended December 31, 2023.
On August 16, 2022, the Inflation Reduction Act of 2022 (the “IRA”), was signed into law. Among other things, the IRA imposes a 15% corporate alternative minimum tax for tax years beginning after December 31, 2022, levies a 1% excise tax on net stock repurchases after December 31, 2022, and provides tax incentives to promote clean energy. Beginning in 2023, net stock repurchases are subject to the excise tax. As of December 31, 2023, we have accrued $0.3 million excise taxes related with our shares repurchases.
Stock Performance Graph
This Section is not “soliciting material,” is not deemed “filed” with the SEC and is not to be incorporated by reference in any filing of Cytek Biosciences under the Securities Act of 1933, as amended (the “Securities Act”), or the Securities Exchange Act of 1934, as amended (the “Exchange Act”), whether made before or after the date hereof and irrespective of any general incorporation language in any such filing.
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The following graph compares the cumulative total return on an investment of $100 in cash on July 23, 2021 through December 31, 2023, in our common stock, the Nasdaq Composite Index and the Nasdaq Biotechnology Components Index and assuming that all dividends were reinvested. The stockholder return shown on the graph below is based on historical data and is not necessarily indicative of future performance, and we do not make or endorse any predictions as to future stockholder returns.
Item 6. [Reserved]
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