Novo Integrated Sciences, a prominent player in the holistic healthcare industry, revealed today its decision to undergo a reverse stock split of its common stock at a ratio of 1-for-10. Subsequent to this announcement, the stock of Novo Integrated Sciences is witnessing a substantial decline of over 52%.
At the time of this publication, Novo Integrated Sciences Inc stock (NVOS) has witnessed a decline.
Current Price: $0.14
Change : -0.16
Change (%): (-52.43%)
Source: Tomorrow Events Market Data
This reverse stock split is slated to take effect immediately after the cessation of trading on the Nasdaq Capital Market on November 6, 2023. The company’s common stock is anticipated to commence trading on Nasdaq on a reverse stock split-adjusted basis come November 7, 2023, operating under the fresh CUSIP number, 67011T300.
Stockholder consensus for the reverse stock split was secured during the company’s annual meeting of stockholders held on September 29, 2023. The Board of Directors, after thorough contemplation in light of prevailing market conditions, gave the green light to the reverse stock split ratio of 1-for-10. The company is of the opinion that this move to uphold its Nasdaq listing will position Novo favorably, potentially drawing a broader spectrum of institutional and retail investors.
In the wake of the reverse stock split, every 10 pre-split shares of common stock of Novo currently in circulation will amalgamate into one share of common stock. For common stock registered directly with Pacific Stock Transfer Company, Novo’s transfer agent, no partial shares will be distributed as a result of the reverse stock split. Instead, any fractional shares will be rounded up to the nearest whole share.
For common stock held through intermediaries such as brokers, banks, or nominees, the handling of any entitlements to fractional shares of common stock will be determined by the respective broker, bank, or nominee.
It is imperative to note that the reverse stock split will bear no impact on the count of authorized shares of common stock, the nominal value of the common stock, or the modification of any rights or preferences associated with the company’s common stock. Adjustments in proportion will be applied to the exercise prices and the quantity of shares underlying the Company’s existing equity awards and warrants, as relevant.
For those seeking further details regarding the reverse stock split, a comprehensive resource can be located in Novo’s definitive proxy statement, which was submitted to the Securities and Exchange Commission (“SEC”) on August 18, 2023.