CVG Announces Termination of Rights Agreement

Rhea-AI Summary

On April 16, 2021, CVG (NASDAQ: CVGI) announced the termination of its rights agreement, known as a "poison pill," which was set to expire on June 24, 2021. The Board of Directors accelerated this expiration to April 15, 2021. CEO Harold Bevis stated that this move aligns with the company’s commitment to enhancing governance policies for the benefit of stockholders. The company reassured that stockholders need not take any action regarding this termination.

Positive

• Termination of the rights agreement signals a commitment to improved governance.
• No action required from stockholders, indicating smooth transition.

Negative

• None.

NEW ALBANY, Ohio, April 16, 2021 /PRNewswire/ -- CVG (NASDAQ: CVGI) announced today that its Board of Directors unanimously approved the termination of the Company's rights agreement, commonly referred to as a "poison pill", which was originally scheduled to expire on June 24, 2021. The rights agreement was amended to accelerate the expiration date to April 15, 2021, effectively terminating the rights agreement as of that date.

"CVG is committed to enhancing its governance policies for the benefit of stockholders," said Harold Bevis, President and Chief Executive Officer of CVG. "The termination of the rights agreement advances that objective."

Stockholders are not required, nor do they need to take any action because of the termination of this rights agreement.

About CVG

CVG is a global provider of components and assemblies into two primary end markets – the global vehicle market and the U.S. technology integrator markets. The company provides components and assemblies to global vehicle companies to build original equipment and provides aftermarket products for fleet owners. The company also provides mechanical assemblies to warehouse automation integrators and to U.S. military technology integrators.

 

 

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SOURCE Commercial Vehicle Group, Inc.

FAQ

What is the significance of CVGI terminating its rights agreement?

The termination indicates CVGI's commitment to enhancing governance for stockholders.

When was the CVGI rights agreement originally scheduled to expire?

The rights agreement was originally scheduled to expire on June 24, 2021.

When did CVGI's rights agreement actually terminate?

CVGI's rights agreement was terminated on April 15, 2021.

Do stockholders need to take any action regarding the termination of the rights agreement?

No, stockholders are not required to take any action due to the termination.