GreenPower Announces Change of Effective Date of Share Consolidation

Rhea-AI Summary

GreenPower Motor Company (NASDAQ: GP) has announced a delay in the implementation of its planned share consolidation. The consolidation, which will combine ten existing shares into one new share, has been postponed from August 28, 2025, to September 8, 2025. The implementation is pending required approvals from the Nasdaq Stock Exchange.

GreenPower is a manufacturer of all-electric medium and heavy-duty vehicles, including transit buses, school buses, and cargo vans. The company operates primarily in southern California and has been listed on NASDAQ since August 2020.

Positive

• None.

Negative

• Share consolidation (reverse split) typically indicates share price concerns
• Implementation delay and pending NASDAQ approval creates uncertainty

Insights

Financial Restructuring Specialist

GreenPower delays 10:1 share consolidation to September 8, pending Nasdaq approval, signaling potential compliance strategy.

GreenPower Motor Company has announced a postponement of its planned 1-for-10 share consolidation from August 28 to September 8, 2025. The delay is explicitly tied to pending approvals from the Nasdaq Stock Exchange, suggesting regulatory coordination is still in process.

This reverse split would reduce GreenPower's outstanding shares by a factor of ten, while proportionally increasing the share price. Such significant consolidations are typically implemented for one of several reasons: to meet exchange listing requirements, to improve trading liquidity, or to adjust share price perception for institutional investors.

The 10:1 ratio is particularly steep, indicating this may be a compliance-driven action rather than a strategic preference. Companies often pursue such substantial consolidations when facing potential delisting due to minimum bid requirements, though no specific reason was provided in this announcement.

While share consolidations don't fundamentally change company value, they often face negative market reception initially as they can signal underlying financial challenges. The postponement itself isn't unusual, but emphasizes the regulatory hurdles GreenPower must navigate to implement this significant capital structure change for its dual-listed shares on Nasdaq and TSX Venture Exchange.

VANCOUVER, BC, Aug. 27, 2025 /PRNewswire/ -- GreenPower Motor Company Inc. (Nasdaq: GP) (TSXV: GPV) ("GreenPower") announces that, further to its news releases of August 20, 2025 and August 27, 2025, the Company has delayed the implementation of its share consolidation on the basis of one (1) new common share for every ten (10) old common shares (the "Consolidation") from August 28, 2025 to September 8, 2025, and the implementation of the Consolidation will be subject to the receipt of all required approvals of the Nasdaq Stock Exchange.

For further information contact:

Brendan Riley, President
(510) 910-3377

Fraser Atkinson, CEO
(604) 220-8048

Michael Sieffert, CFO
(604) 563-4144

About GreenPower Motor Company Inc.
GreenPower designs, builds and distributes a full suite of high-floor and low-floor all-electric medium and heavy-duty vehicles, including transit buses, school buses, shuttles, cargo van and a cab and chassis. GreenPower employs a clean-sheet design to manufacture all-electric vehicles that are purpose built to be battery powered with zero emissions while integrating global suppliers for key components. This OEM platform allows GreenPower to meet the specifications of various operators while providing standard parts for ease of maintenance and accessibility for warranty requirements. GreenPower was founded in Vancouver, Canada with primary operational facilities in southern California. Listed on the Toronto exchange since November 2015, GreenPower completed its U.S. IPO and NASDAQ listing in August 2020. For further information go to www.greenpowermotor.com 

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. ©2025 GreenPower Motor Company Inc. All rights reserved.

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SOURCE GreenPower Motor Company

FAQ

What is the new effective date for GreenPower Motor's (GP) share consolidation?

GreenPower Motor's share consolidation has been delayed to September 8, 2025, from the previously announced date of August 28, 2025.

What is the ratio of GreenPower's (GP) share consolidation?

GreenPower's share consolidation will be on a 10:1 ratio, meaning ten old common shares will be consolidated into one new common share.

Why is GreenPower (GP) implementing a share consolidation?

While not explicitly stated in the press release, share consolidations are typically implemented to increase the share price and maintain exchange listing requirements.

What approvals does GreenPower (GP) need for the share consolidation?

GreenPower requires approval from the Nasdaq Stock Exchange before implementing the share consolidation.

What does GreenPower Motor Company (GP) manufacture?

GreenPower designs and manufactures all-electric medium and heavy-duty vehicles, including transit buses, school buses, shuttles, cargo vans, and cab and chassis vehicles.