SCHEDULE 13G/A: Armistice Capital and Steven Boyd Reduce Stake in XORTX Therapeutics Below 5% Threshold

Armistice Capital, LLC and Steven Boyd have filed an amended Schedule 13G, disclosing a reduction in their beneficial ownership of XORTX Therapeutics Inc. common shares to 4.99%.

Summary

• Armistice Capital, LLC and Steven Boyd, collectively referred to as the 'Reporting Persons', have filed an Amendment No. 1 to Schedule 13G regarding their beneficial ownership in XORTX Therapeutics Inc.
• The filing indicates that as of March 31, 2025, the Reporting Persons beneficially own 178,031 common shares of XORTX Therapeutics Inc., representing 4.99% of the company's outstanding common shares.
• Armistice Capital, LLC, a Delaware entity, is identified as an investment adviser (IA) and other organization (OO), while Steven Boyd, a U.S. citizen, is identified as a holding company (HC) and individual (IN).
• The shares are held with shared voting power and shared dispositive power by both Armistice Capital, LLC and Steven Boyd.
• The Master Fund, a Cayman Islands exempted company and an investment advisory client of Armistice Capital, has the right to receive dividends and proceeds from the sale of these securities.
• The Reporting Persons certify that the securities were acquired and are held in the ordinary course of business and not for the purpose of changing or influencing the control of the issuer.

Sentiment

Score: 4

Explanation: The sentiment is slightly negative due to the reduction in beneficial ownership below the 5% threshold by a significant investor, which can be interpreted as a decreased conviction or reallocation of capital.

Negatives

• The reporting persons, Armistice Capital, LLC and Steven Boyd, have reduced their beneficial ownership in XORTX Therapeutics Inc. to 4.99% of common shares, falling below the 5% threshold that typically triggers Schedule 13G filings, indicating a decreased position.

Industry Context

This filing is a routine disclosure of passive ownership changes by an institutional investor and an individual, common in the financial industry for publicly traded companies. It reflects a change in a specific investor's position rather than a broader industry trend.

Related Party Transactions

• Armistice Capital, LLC is the investment manager for Armistice Capital Master Fund Ltd., which is the direct holder of the shares. Mr. Boyd is the managing member of Armistice Capital, LLC. The Master Fund is an investment advisory client of Armistice Capital.

Stakeholder Impact

• Shareholders may view the reduction in a significant investor's stake as a potential signal of reduced confidence, which could influence investor sentiment and potentially the stock price.

Key Dates

Recommendation

Keywords

XORTX Therapeutics Inc., Armistice Capital, Steven Boyd, Schedule 13G, Beneficial Ownership, Common Shares, SEC Filing, Investment Management, Passive Investment