Viridien: Completion of Viridien reverse share split

Rhea-AI Summary

Viridien (formerly CGG) has completed a reverse share split of its share capital, exchanging 716,146,563 old shares with a €0.01 nominal value for 7,161,465 new shares with a €1.00 nominal value. The new shares are now tradeable on the Euronext Paris market under the ISIN code FR001400PVN6. Shareholders with a number of shares not divisible by 100 will be compensated for fractional rights by August 29, 2024. The reverse split aims to simplify share management without impacting overall shareholder value. The process was carried out in accordance with the resolution passed at the May 15, 2024 shareholders' meeting.

Positive

• Simplification of share structure may improve market perception
• No impact on overall shareholder value (excluding fractional shares)
• Compliance with shareholder-approved resolution demonstrates good corporate governance

Negative

• Potential loss of value for shareholders with fractional shares
• Temporary trading disruption during the transition period

Insights

Financial Analyst

The reverse share split announced by Viridien (formerly CGG) is a significant corporate action that warrants attention from investors. This move, which consolidates 100 old shares into 1 new share, is typically implemented to boost share price and potentially attract institutional investors. However, it's important to note that this action doesn't inherently change the company's market capitalization or fundamental value.

Key points to consider:

• The total number of outstanding shares has decreased from 716,146,563 to 7,161,465, a 99% reduction.
• The nominal value per share has increased from €0.01 to €1.00.
• This action may improve the company's image and liquidity by moving the share price away from penny stock territory.
• Investors should be aware that their overall stake in the company remains unchanged, barring fractional shares.

While the reverse split doesn't directly impact Viridien's financial health, it could be seen as a strategic move to reposition the company in the market. Investors should monitor post-split trading patterns and any changes in institutional ownership, as these factors could influence the stock's performance in the coming weeks.

Market Research Analyst

The completion of Viridien's reverse share split is a noteworthy development that could have implications for the company's market perception and investor base. Here are some key considerations:

• The new ISIN code (FR001400PVN6) and maintained ticker symbol (VIRI) suggest a balance between change and continuity in the company's market identity.
• The 30-day window for fractional share compensation (until August 29, 2024) is standard practice but may cause short-term fluctuations in trading volume.
• The resumption of the exercise period for securities giving access to share capital on August 5, 2024, could lead to increased trading activity and potential dilution effects.

Investors should pay close attention to:

• Post-split trading volumes and price stability, which can indicate market reception of the new share structure.
• Any changes in analyst coverage or institutional investor interest, which could signal shifts in market perception.
• Potential impacts on options and other derivatives tied to Viridien stock, as these may need adjustments.

While reverse splits are often viewed skeptically, they can sometimes precede positive corporate developments. Investors should monitor Viridien's future announcements and financial performance to gauge the long-term implications of this corporate action.

Completion of Viridien (formerly CGG) reverse share split

Paris, France – July 31, 2024

Viridien (the “Company”) announces today the completion of the reverse share split of its share capital on the basis of 1 new share of €1.00 nominal value for 100 old shares of €0.01 nominal value (the “Reverse Share Split”). Therefore, 716,146,563 old shares with a nominal value of one cent of a euro (€0.01) each were exchanged for 7,161,465 new shares with a nominal value of one euro (€1) each.

As of today, the old shares (ISIN code FR0013181864) will be delisted and the new shares resulting from the Reverse Share Split are tradeable on the Euronext Paris market under a new ISIN code: FR001400PVN6.

The main terms and conditions of the Reverse Share Split, as detailed in the initial notice of Reverse Share Split and additional notice published respectively on June 14 and June 26, 2024 in the Bulletin des Annonces Légales Obligatoires, as well as in the press release published by Viridien on June 27, 2024, are as follows:        

• Number of new shares resulting from the Reverse Share Split: 7,161,465 shares
• Nominal value of a new share: €1.00
• ISIN code of new shares: FR001400PVN6
• Admission of the Company's new shares for trading: July 31, 2024
• Ticker symbol of the new shares (unchanged): VIRI
  
  

Shareholders holding a total number of shares that is an exact multiple of 100 will need to take no action. These shares have been automatically exchanged by their financial intermediary on the basis of 1 new share (of €1.00 nominal value) for each block of 100 old shares (of €0.01 nominal value).

Shareholders who were unable to obtain a number of old shares that is a multiple of 100 will be compensated for their fractional rights by their financial intermediary within a maximum period of 30 days as from July 31, 2024, i.e. up to August 29, 2024 at the latest. Shareholders are invited to contact their financial intermediary if they have any questions on this subject.

It should be noted that the Reverse Share Split is a share exchange transaction, with no impact on the overall value of Viridien shares held by shareholders, with the exception of fractional shares.

The Reverse Share Split was carried out in accordance with the 15^th resolution of the Combined General Meeting of the shareholders of the Company of May 15, 2024, as decided by the decision of the Chief Executive Officer on June 14, 2024, following the sub-delegation from the Board of Directors on May 15, 2024 and pursuant to Articles L.228-6-1 and R.228-12 of the French Commercial Code, and Article 6 of Decree no. 48-1683 of October 30, 1948 setting out certain characteristics of securities.

Upcoming transactions timeline:

July 31, 2024	Effective date of Reverse Share Split and first listing of the new shares (ISIN code: FR001400PVN6)
As from July 31, 2024 until August 29, 2024	Compensation of shareholders with fractional shares by their financial intermediary
August 5, 2024	Resumption of the exercise period for securities giving access to the share capital

About Viridien (formerly CGG):

Viridien (www.viridiengroup.com) is an advanced technology, digital and Earth data company that pushes the boundaries of science for a more prosperous and sustainable future. With our ingenuity, drive and deep curiosity we discover new insights, innovations, and solutions that efficiently and responsibly resolve complex natural resource, digital, energy transition and infrastructure challenges. Viridien employs around 3,500 people worldwide and is listed as VIRI on the Euronext Paris SA (ISIN: FR001400PVN6).

Contact: Legal Department, 27 avenue Carnot, 91300 Massy

Attachment

• PR - completion of the reverse stock split -vF

FAQ

What is the new ISIN code for Viridien shares after the reverse split?

The new ISIN code for Viridien shares after the reverse split is FR001400PVN6.

How many new Viridien shares were created in the reverse split?

The reverse split resulted in 7,161,465 new Viridien shares with a nominal value of €1.00 each.

When will shareholders with fractional Viridien shares be compensated?

Shareholders with fractional Viridien shares will be compensated by their financial intermediary within 30 days of July 31, 2024, up to August 29, 2024 at the latest.

What was the exchange ratio for Viridien's reverse share split?

The exchange ratio for Viridien's reverse share split was 1 new share with a €1.00 nominal value for 100 old shares with a €0.01 nominal value.