Universal Safety Products, Inc. Declares One-Time Special Cash Dividend of $1.00 per Share of Common Stock
Rhea-AI Summary
Universal Safety Products (NYSE American: UUU) has announced a one-time special cash dividend of $1.00 per share of common stock. The dividend will be paid on September 25, 2025, to shareholders of record as of September 18, 2025.
The special dividend follows the successful sale of assets to Feit Electric Company earlier this year. CEO Harvey B. Grossblatt emphasized that while this dividend represents immediate value creation, the company will retain sufficient resources for future growth opportunities and new product development.
Due to the dividend's size (over 20% of stock price), shares will trade with "due bills" from September 18-25, 2025. Shareholders selling during this period will transfer their dividend rights to buyers.
Positive
- One-time special cash dividend of $1.00 per share announced
- Successful completion of asset sale to Feit Electric Company
- Company retains resources for future growth and new product development
Negative
- Dividend amount is lower than initially planned under the full dissolution scenario
News Market Reaction 41 Alerts
On the day this news was published, UUU gained 75.15%, reflecting a significant positive market reaction. Argus tracked a peak move of +85.5% during that session. Our momentum scanner triggered 41 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $7M to the company's valuation, bringing the market cap to $16M at that time. Trading volume was exceptionally heavy at 1094.6x the daily average, suggesting very strong buying interest.
Data tracked by StockTitan Argus on the day of publication.
OWINGS MILLS, Md., Sept. 02, 2025 (GLOBE NEWSWIRE) -- Universal Safety Products, Inc. (NYSE American: UUU) (the “Company”) today announced that its Board of Directors has declared a one-time special cash dividend of
Harvey B. Grossblatt, the Company’s President and CEO commented: “This special dividend marks an important milestone for our stockholders, representing a direct return of value from the successful sale of assets to Feit Electric Company earlier this year. While our original plan envisioned a larger dividend tied to a full dissolution, our stockholders chose a different path, one that positions the Company to grow and prosper. By returning meaningful capital today while preserving resources for the future, we are aligning our actions with both immediate value creation and long-term opportunity. I am truly excited about what lies ahead as we plan to introduce new products and services that we believe can unlock even greater stockholder value.”
Because the payment of the special dividend represents more than
Shareholders who sell their common stock during the Dividend Right Period (September 18, 2025 through September 25, 2025) will be selling their right to the special dividend, and such shareholders will not be entitled to receive the special dividend on September 25, 2025. Due bills obligate a seller of common stock to deliver the special dividend payable on such common stock to the buyer (the “Dividend Right”).
The special dividend record date of September 18, 2025 will be used as the date for establishing the due bill tracking of the Dividend Right to the holder of common stock. Due bill obligations are customarily settled between the brokers representing the buyers and the sellers of shares. The Company has no obligation for either the amount of the due bill or the processing of the due bill. Buyers and sellers of the Company’s common stock should consult their brokers before trading to be sure they understand the effect of NYSE American’s due bill procedures.
About Universal Safety
Universal Safety Products, Inc. is a distributor of safety and security devices. Founded in 1969, the Company has an over 56-year heritage of developing innovative and easy-to-install products. For more information on Universal Safety Products, Inc., visit our website at www.universalsafetyprod.com.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally include statements that are predictive in nature and depend upon or refer to future events or conditions, and include words such as “believes,” “plans,” “anticipates,” “projects,” “estimates,” “expects,” “intends,” “strategy,” “future,” “opportunity,” “may,” “will,” “should,” “could,” “potential,” or similar expressions. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties.
Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update any of them publicly in light of new information or future events. Actual results could differ materially from those contained in any forward-looking statement as a result of various factors. More information, including potential risk factors, that could affect the Company’s business and financial results are included in the Company’s filings with the U.S. Securities and Exchange Commission, including, but not limited to, the Company’s Forms 10-K, 10-Q and 8- K. All filings are available at www.sec.gov and on the Company’s website at www.universalsafetyprod.com.
Contact: Harvey Grossblatt, CEO
Universal Safety Products, Inc.
(410) 363-3000, Ext. 224
FAQ
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