Crown Electrokinetics Announces 1-for-150 Reverse Stock Split
Rhea-AI Summary
Crown Electrokinetics Corp. (NASDAQ:CRKN) announced a 1-for-150 reverse stock split, set to begin trading on a split-adjusted basis on June 25, 2024. Approved by the Board on June 12, 2024, and by stockholders on June 14, 2024, this split will convert every 150 shares of issued common stock into one share. No fractional shares will be issued; instead, they'll be rounded up to the next whole number. The split will not alter any stockholder's percentage interest in the company's common stock. The new CUSIP number for the adjusted shares will be 228339404, and trading will continue under the symbol 'CRKN'.
Positive
- Reverse stock split consolidates shares, potentially increasing stock price.
- Board and stockholder approval indicates strong internal support for the move.
- No fractional shares will be issued, simplifying financial management.
Negative
- Reverse stock split may signal financial distress or attempt to avoid Nasdaq delisting.
- Reduction in number of outstanding shares may lead to lower trading volume.
- Stockholder value may not change, potentially causing dissatisfaction among investors.
News Market Reaction – CRKN
On the day this news was published, CRKN declined 17.80%, reflecting a significant negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
LOS ANGELES, CA / ACCESSWIRE / June 21, 2024 / Crown Electrokinetics Corp. (NASDAQ:CRKN) ("Crown" or the "Company"), a leading smart glass technology company and an expert in constructing fiber optic networks, announces that it expects to implement a 1-for-150 reverse stock split on its common stock with trading to begin on a split-adjusted basis at the market open on Tuesday, June 25, 2024. Trading in the common stock will continue on the Nasdaq Capital Market under the symbol "CRKN". The new CUSIP number for the common stock following the reverse stock split is 228339404.
The reverse stock split at a ratio of 1-for-150 shares was approved by the Company's Board of Directors on June 12, 2024, subject to stockholder approval, and the Company's stockholders at the Annual Meeting which was held on June 14, 2024.
Upon the effectiveness of the reverse stock split, every 150 shares of the Company's issued and outstanding common stock will automatically be converted into one share of issued and outstanding common stock. No fractional shares will be issued as a result of the reverse stock split. Instead, any fractional shares that would have resulted from the split will be rounded up to the next whole number. The reverse stock split affects all stockholders uniformly and will not alter any stockholder's percentage interest in the Company's outstanding common stock, except for adjustments that may result from the treatment of fractional shares.
About Crown Electrokinetics
Crown is comprised of two divisions, Fiber Optics and Electrokinetics Film. The Electrokinetics Film division is a smart glass technology and the creator of our Smart Window Insert based on its patented electrokinetic film. Crown's Fiber Optics division is a builder of underground fiber optic networks as well as other utility infrastructure projects. For more info, please visit: www.crownek.com
Safe Harbor Statement
Statements in this news release may be "forward-looking statements". Forward-looking statements include, but are not limited to, statements that express our intentions, beliefs, expectations, strategies, predictions, or any other statements relating to our future activities or other future events or conditions. These statements are based on current expectations, estimates and projections about our business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and are likely to, differ materially from what is expressed or forecasted in forward-looking statements due to numerous factors. Any forward-looking statements speak only as of the date of this news release and Crown Electrokinetic Corp. undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date of this news release.
This press release does not constitute a public offer of any securities for sale. Any securities offered privately will not be or have not been registered under the Act and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
Crown Electrokinetics Contact:
IR Email: info@crownek.com
SOURCE: Crown Electrokinetics
View the original press release on accesswire.com
FAQ
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Will Crown Electrokinetics (CRKN) issue fractional shares after the reverse stock split?
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