Elevai Labs Inc. Announces Withdrawal of Offer to Exchange and Plans to Reassess
Elevai Labs (NASDAQ: ELAB) has withdrawn its previously announced exchange offer that would have allowed holders to exchange up to 15,000,000 shares of Common Stock for an equal number of newly issued Series B Preferred Stock. The withdrawal was due to the Depositary Trust Company's inability to accept Common Stock tenders due to logistical issues. The company had planned to complete this offer before a reverse stock split but faced delays from SEC comment responses. Elevai will now focus on regaining Nasdaq listing compliance and will evaluate the possibility of initiating a new exchange offer, though terms and execution are not guaranteed.
Elevai Labs (NASDAQ: ELAB) ha ritirato la sua offerta di scambio precedentemente annunciata, la quale avrebbe permesso ai detentori di scambiare fino a 15.000.000 azioni di Common Stock per un numero equivalente di azioni di nuova emissione di Serie B Preferred Stock. Il ritiro è avvenuto a causa dell'impossibilità della Depositary Trust Company di accettare le offerte per le azioni comuni a causa di problemi logistici. L'azienda aveva pianificato di completare questa offerta prima di un frazionamento azionario inverso, ma ha affrontato ritardi a causa delle risposte ai commenti della SEC. Elevai si concentrerà ora sul ripristino della conformità alla quotazione Nasdaq e valuterà la possibilità di avviare una nuova offerta di scambio, sebbene i termini e l'esecuzione non siano garantiti.
Elevai Labs (NASDAQ: ELAB) ha retirado su oferta de intercambio previamente anunciada que habría permitido a los titulares intercambiar hasta 15,000,000 acciones de Common Stock por un número equivalente de nuevas acciones emitidas de Serie B Preferred Stock. El retiro se debió a la incapacidad de la Depositary Trust Company para aceptar propuestas de Common Stock debido a problemas logísticos. La compañía había planeado completar esta oferta antes de una división inversa de acciones, pero enfrentó retrasos por las respuestas a los comentarios de la SEC. Elevai ahora se enfocará en recuperar la conformidad con la cotización del Nasdaq y evaluará la posibilidad de iniciar una nueva oferta de intercambio, aunque los términos y la ejecución no están garantizados.
Elevai Labs (NASDAQ: ELAB)는 주주가 최대 15,000,000주를 Common Stock으로 교환할 수 있도록 하는 이전에 발표된 교환 제안을 철회했습니다. 이는 Depositary Trust Company가 물류 문제로 인해 Common Stock의 입찰을 수용할 수 없기 때문입니다. 회사는 역주식 분할 전에 이 제안을 완료할 계획이었으나 SEC의 의견에 대한 답변으로 인해 지연이 발생했습니다. Elevai는 이제 Nasdaq 상장 준수를 회복하는 데 주력할 것이며, 새로운 교환 제안을 시작할 가능성을 평가할 예정이지만, 조건과 실행은 보장되지 않습니다.
Elevai Labs (NASDAQ: ELAB) a retiré son offre d'échange précédemment annoncée, qui aurait permis aux détenteurs d'échanger jusqu'à 15 000 000 d'actions de Common Stock contre un nombre équivalent de nouvelles actions de série B Preferred Stock. Ce retrait est dû à l'incapacité de la Depositary Trust Company à accepter les offres d'actions ordinaires en raison de problèmes logistiques. L'entreprise prévoyait de finaliser cette offre avant une division inversée des actions, mais a rencontré des retards en raison des réponses aux commentaires de la SEC. Elevai se concentrera maintenant sur le rétablissement de la conformité à la cotation Nasdaq et évaluera la possibilité de lancer une nouvelle offre d'échange, bien que les termes et l'exécution ne soient pas garantis.
Elevai Labs (NASDAQ: ELAB) hat das zuvor angekündigte Umtauschangebot zurückgezogen, das es den Inhabern ermöglicht hätte, bis zu 15.000.000 Aktien von Common Stock gegen eine entsprechende Anzahl neu ausgegebener Aktien der Serie B Preferred Stock einzutauschen. Der Rückzug erfolgte aufgrund der Unfähigkeit der Depositary Trust Company, Common Stock Angebote aufgrund logistischer Probleme zu akzeptieren. Das Unternehmen hatte geplant, dieses Angebot vor einem Reverse Stock Split abzuschließen, sah sich jedoch Verzögerungen durch die Kommentare der SEC gegenüber. Elevai wird sich nun darauf konzentrieren, die Compliance für die Nasdaq-Notierung wiederherzustellen und wird die Möglichkeit eines neuen Umtauschangebots prüfen, obwohl die Bedingungen und die Umsetzung nicht garantiert sind.
- None.
- Exchange offer withdrawal could impact company's strategic plans
- Facing potential Nasdaq listing compliance issues
- DTC logistical issues prevented execution of planned stock exchange
- Delays in SEC approval process affected timeline
Insights
The withdrawal of the stock exchange offer represents a significant setback in ELAB's capital restructuring plans. The technical hurdle with DTC's inability to process the exchange creates uncertainty around the company's strategy to maintain Nasdaq compliance. This development is particularly concerning given ELAB's
The failed exchange of up to 15 million common shares for Series B Preferred Stock indicates potential challenges in executing corporate actions. The timing pressure to meet Nasdaq listing requirements adds another layer of complexity. Without a clear alternative plan presented, investors face increased uncertainty about the company's ability to maintain its listing status. The market should expect increased volatility as the company reassesses its options.
NEWPORT BEACH, Calif., Nov. 22, 2024 (GLOBE NEWSWIRE) -- Elevai Labs, Inc. (NASDAQ: ELAB) (“Elevai” or the “Company”), a leader in medical aesthetics, announced today that it is has withdrawn the previously announced offer (the “Offer”) to holders of the Company’s outstanding Common Stock (the “Common Stock”), to exchange up to 15,000,000 shares of Common Stock for up to 15,000,000 shares of the Company’s newly issued Series B Preferred Stock (“Series B Preferred Stock”), as a result of notice from the Depositary Trust Company (“DTC”) that due to logistical issues, DTC would not be able to accept the tenders of Common Stock. As a result of this withdrawal, no shares will be exchanged in the Offer and all shares previously tendered and not withdrawn will be promptly returned to tendering holders. The Company had intended to complete the Offer prior to a planned reverse stock split; however, unforeseen circumstances, including amending the offering materials in response to Securities and Exchange Commission ("SEC") comments, caused delays. As a result, the Company has withdrawn the Offer to prioritize regaining compliance with Nasdaq's listing requirements.
The Company’s obligation to exchange shares pursuant to the Offer was subject to a condition that specified the Series B Preferred Stock shall be eligible for deposit with the DTC. As shares of Common Stock tendered could not be accepted by the DTC and exchanged for Series B Preferred Stock, the Offer could not be settled.
The Company will assess whether to commence a new exchange offer, though there can be no assurance that the Company will proceed with a new exchange offer or as to the terms thereof.
About Elevai Labs, Inc.
Elevai Labs Inc. (NASDAQ: ELAB) specializes in medical aesthetics and biopharmaceutical drug development, focusing on innovations for skin aesthetics and treatments tied to obesity and metabolic health. The Company operates a diverse portfolio of three wholly owned subsidiaries across the medical aesthetics and biopharmaceutical sectors, Elevai Skincare Inc., Elevai Biosciences Inc., and Elevai Research Inc. For more information please visit www.elevailabs.com.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally include statements that are predictive in nature and depend upon or refer to future events or conditions, and include words such as “believes,” “plans,” “anticipates,” “projects,” “estimates,” “expects,” “intends,” “strategy,” “future,” “opportunity,” “may,” “will,” “should,” “could,” “potential,” or similar expressions. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update any of them publicly in light of new information or future events. Actual results could differ materially from those contained in any forward-looking statement as a result of various factors. More information, including potential risk factors, that could affect the Company’s business and financial results are included in the Company’s filings with the U.S. Securities and Exchange Commission, including, but not limited to, the Company’s Forms 10-K, 10-Q and 8-K. All filings are available at www.sec.gov.
IR Contact:
IR@ElevaiLabs.com
FAQ
Why did Elevai Labs (ELAB) withdraw its stock exchange offer in November 2024?
How many shares were involved in Elevai Labs' (ELAB) withdrawn exchange offer?
What is Elevai Labs' (ELAB) plan after withdrawing the exchange offer?
