E-home (NASDAQ: EJH) wins approval for broad-range share consolidation
Rhea-AI Filing Summary
E-home Household Service Holdings Limited reported the results of an extraordinary general meeting where shareholders approved a potential share consolidation of its ordinary shares. The consolidation may range from one-for-two to one-for-eighty, with the exact ratio to be set by the Board as a whole number within this range.
The Board has up to 180 days from the resolution date to choose the ratio and may also resolve any fractional shares, including issuing additional shares from reserves to round up entitlements. Shareholders cast 51,479,157 votes, about 64.35% of exercisable votes, with 51,410,744 in favor, 64,655 against, and 3,757 abstaining. The Board may still decide not to proceed and abandon the consolidation.
Positive
- None.
Negative
- None.
Insights
Shareholders authorize flexible reverse split; Board retains discretion to proceed.
E-home Household Service Holdings Limited obtained shareholder approval for a share consolidation in a broad range from one-for-two to one-for-eighty. The Board may pick any whole-number ratio within this band within 180 days and can manage fractional shares using company reserves.
This authorization gives directors significant flexibility to change the share count and trading price without needing another shareholder vote. However, the approval does not guarantee that any consolidation will occur, since the Board may determine that it is not in the company’s or shareholders’ best interests and abandon the action.
The voting outcome was highly supportive, with 51,410,744 votes for, 64,655 against, and 3,757 abstentions out of 51,479,157 votes present, representing about 64.35% of votes exercisable as of