Ascent Solar Issues Update on Reverse Stock Split Process
Ascent Solar Technologies (ASTI) announced a proposed reverse stock split in a press release dated December 2, 2021. The company's definitive 14C information statement related to this split was filed with the SEC on November 29, 2021, and is currently being distributed to stockholders. The split ratio approved ranges from 1-for-1,000 to 1-for-10,000, with an anticipated implementation of 1-for-5,000. Management believes this step is crucial for the company's turnaround and aims for a return to the Nasdaq Capital Market. Further details will be shared post-SEC review.
- Management believes the reverse split is essential for the company's turnaround.
- The proposed split aims to align the capital structure with similar companies, potentially attracting institutional investors.
- The anticipated reverse split ratio of 1-for-5,000 could help the company regain compliance for listing on the Nasdaq.
- The reverse split may indicate underlying financial struggles, necessitating a drastic restructuring of share capital.
- Implementation is contingent on SEC and FINRA approval, creating uncertainty around timing.
THORNTON, CO, Dec. 02, 2021 (GLOBE NEWSWIRE) -- via NewMediaWire -- Ascent Solar Technologies, Inc. (OTCMKTS: ASTI), a developer and manufacturer of state-of-the-art, lightweight and flexible thin-film photovoltaic (PV) solutions (“Ascent Solar”, “Ascent” or the “Company”), today released an update on its previously announced and pending process for a proposed reverse stock split (“Reverse Split”).
The Company filed its definitive 14C information statement relating to the Reverse Split with the SEC on November 29, 2021, and such information statement is currently being mailed to the Company’s stockholders.
Under SEC rules, the Reverse Split cannot be implemented before December 20, 2021. The Reverse Split is also subject to regulatory review by FINRA. The Company intends to implement the Reverse Split as soon as possible after the SEC waiting period expires and FINRA approval is received.
The Company’s board and majority stockholders have approved a Reverse Split ratio of between 1-for-1,000 and 1-for-10,000, with the final ratio within such range and the timing of implementation to be determined by the board in its sole discretion.
Subject to market conditions, the Company currently anticipates implementing a Reverse Split ratio of 1-for-5,000. The Company will not issue any fractional shares in connection with the Reverse Split. Any fractional shares result from the Reverse Split in a stockholder’s account will be rounded up to the nearest whole share. At a 1-for-5,000 Reverse Split ratio, for example, all stockholders holding less than 5,000 pre-split shares would be automatically rounded up to 1 post-Reverse Split share.
Prior to implementation of the Reverse Split, the Company will be providing stockholders and the trading markets additional information about the final terms, timing and mechanics of the Reverse Split.
Management strongly believes that the Reverse Split is essential to continuing the Company’s turnaround process and will support Ascent’s intended path back to the Nasdaq Capital Market, which will provide broader market participation with possibilities amongst institutional investors.
“The Reverse Split is a necessary step as we continue to rebuild the Company,” said Victor Lee, President and CEO of Ascent Solar Technologies. “This will better align Ascent’s capital structure with that of other similar companies of our size, ambitions and scope.”
ABOUT ASCENT SOLAR TECHNOLOGIES, INC:
Ascent Solar Technologies, Inc. is a developer of thin-film photovoltaic modules using flexible substrate materials that are more versatile and rugged than traditional solar panels. Ascent Solar modules were named as one of the top 100 technologies by R&D Magazine, and one of TIME Magazine's 50 best inventions. The technology described above represents the cutting edge of flexible power and can be directly integrated into consumer products and off-grid applications, as well as other aerospace applications. Ascent Solar is headquartered in Thornton, Colorado, and more information can be found at www.AscentSolar.com.
Forward Looking Statements:
Statements in this press release that are not statements of historical or current fact constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other unknown factors that could cause the Company's actual operating results to be materially different from any historical results or from any future results expressed or implied by such forward-looking statements. In addition to statements that explicitly describe these risks and uncertainties, readers are urged to consider statements that contain terms such as "believes," "belief," "expects," "expect," "intends," "intend," "anticipate," "anticipates," "plans," "plan," to be uncertain and forward-looking. No information in this press release should be construed as any indication whatsoever of our future revenues, stock price, or results of operations. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company's filings with the Securities and Exchange Commission.
Ascent Solar Technologies
Investor Relations: IR@AscentSolar.com
FAQ
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