Vertical Announces One-For-Ten Reverse Share Split
Vertical Aerospace (NYSE: EVTL) has announced a one-for-ten (1:10) reverse share split of its ordinary and preferred shares, effective September 20, 2024. Trading on a split-adjusted basis will begin on September 23, 2024, under the existing symbol 'EVTL' but with a new CUSIP number. This move aims to increase the per share trading price and regain compliance with NYSE's minimum share price criteria.
Key points:
- Every ten shares will be converted into one share
- Authorized shares will decrease proportionally
- No fractional shares will be issued; cash will be provided instead
- The split affects shares under the 2021 Incentive Award Plan, warrants, convertible notes, and options
- Public warrants will be adjusted: 10 warrants needed to receive 1 ordinary share
- Warrant exercise price adjusted to $115.00 per share
Vertical Aerospace (NYSE: EVTL) ha annunciato un raggruppamento di azioni in rapporto uno a dieci (1:10) delle sue azioni ordinarie e privilegiate, con effetto dal 20 settembre 2024. La negoziazione con il nuovo rapporto di frazionamento inizierà il 23 settembre 2024, sotto il simbolo esistente 'EVTL' ma con un nuovo numero CUSIP. Questa mossa mira a aumentare il prezzo di negoziazione per azione e a riacquistare la conformità con i criteri di prezzo minimo delle azioni della NYSE.
Punti chiave:
- Ogni dieci azioni saranno convertite in una sola azione
- Le azioni autorizzate diminuiranno proporzionalmente
- Non saranno emesse azioni frazionarie; invece sarà fornito del denaro contante
- Il frazionamento influisce sulle azioni sotto il Piano di Premi Incentivi del 2021, sugli warrant, sui titoli convertibili e sulle opzioni
- I warrant pubblici saranno regolati: saranno necessari 10 warrant per ricevere 1 azione ordinaria
- Il prezzo di esercizio del warrant sarà regolato a 115,00$ per azione
Vertical Aerospace (NYSE: EVTL) ha anunciado un recorte de acciones en una proporción de uno a diez (1:10) de sus acciones ordinarias y preferentes, que entrará en vigor el 20 de septiembre de 2024. La negociación sobre la base ajustada por el recorte comenzará el 23 de septiembre de 2024, bajo el símbolo existente 'EVTL' pero con un nuevo número CUSIP. Este movimiento tiene como objetivo incrementar el precio de negociación por acción y recuperar el cumplimiento de los criterios de precio mínimo de acciones de la NYSE.
Puntos clave:
- Cada diez acciones se convertirán en una acción
- Las acciones autorizadas disminuirán proporcionalmente
- No se emitirán acciones fraccionarias; en su lugar, se proporcionará efectivo
- El recorte afecta a las acciones bajo el Plan de Premios Incentivos de 2021, opciones, notas convertibles y warrants
- Los warrants públicos se ajustarán: se necesitarán 10 warrants para recibir 1 acción ordinaria
- El precio de ejercicio de los warrants se ajustará a 115,00 $ por acción
버티컬 에어로스페이스 (NYSE: EVTL)는 1대 10 비율의 역주식 분할(1:10)을 발표했습니다. 이는 보통주와 우선주에 적용되며, 2024년 9월 20일부터 시행됩니다. 분할 조정으로 인한 거래는 2024년 9월 23일에 기존 기호 'EVTL'로 시작되지만 새로운 CUSIP 번호가 부여됩니다. 이번 조치는 주당 거래 가격을 증가시키고 NYSE의 최소 주가 기준에 대한 준수를 회복하기 위한 것입니다.
주요 사항:
- 10주가 1주로 전환됩니다
- 승인된 주식 수는 비례적으로 감소합니다
- 부분 주식은 발행되지 않으며 대신 현금이 제공됩니다
- 이번 분할은 2021 인센티브 수상 계획, 워런트, 전환 사채 및 옵션에 영향을 미칩니다
- 공공 워런트가 조정됩니다: 1보통주를 받기 위해 10워런트가 필요합니다
- 워런트 행사 가격이 주당 115.00달러로 조정됩니다
Vertical Aerospace (NYSE: EVTL) a annoncé un couronnement d'actions en ratio un pour dix (1:10) de ses actions ordinaires et préférentielles, prenant effet le 20 septembre 2024. Le trading sur une base ajustée commencera le 23 septembre 2024, sous le symbole existant 'EVTL' mais avec un nouveau numéro CUSIP. Ce mouvement vise à augmenter le prix de négociation par action et à retrouver la conformité avec les critères de prix minimum des actions de la NYSE.
Points clés :
- Chaque dix actions seront converties en une seule action
- Les actions autorisées diminueront proportionnellement
- Aucune action fractionnaire ne sera émise ; de l'argent liquide sera fourni à la place
- Le split concerne les actions sous le Plan d'Attribution d'Incentives de 2021, les warrants, les obligations convertibles et les options
- Les warrants publics seront ajustés : 10 warrants seront nécessaires pour recevoir 1 action ordinaire
- Le prix d'exercice du warrant sera ajusté à 115,00 $ par action
Vertical Aerospace (NYSE: EVTL) hat einen Aktienumkehrsplit im Verhältnis eins zu zehn (1:10) für ihre Stamm- und Vorzugsaktien angekündigt, der am 20. September 2024 in Kraft tritt. Der Handel auf Basis des umgekehrten Splits beginnt am 23. September 2024 unter dem bestehenden Symbol 'EVTL', jedoch mit einer neuen CUSIP-Nummer. Dieses Vorgehen zielt darauf ab, den Handelspreis pro Aktie zu erhöhen und die Einhaltung der Mindestpreisanforderungen der NYSE wiederzuerlangen.
Wichtige Punkte:
- Jede zehn Aktien werden in eine Aktie umgewandelt
- Die genehmigten Aktien verringern sich proportional
- Es werden keine Bruchaktien ausgegeben; stattdessen wird Bargeld bereitgestellt
- Der Split betrifft Aktien unter dem Anreizplan von 2021, Warrants, wandelbare Anleihen und Optionen
- Öffentliche Warrants werden angepasst: 10 Warrants sind erforderlich, um 1 Stammaktie zu erhalten
- Der Ausübungspreis des Warrants wird auf 115,00 $ pro Aktie angepasst
- Potential to regain compliance with NYSE's minimum share price requirements
- Maintains 1,500 pre-orders of the VX4 worth $6bn
- Partnerships with leading aerospace companies like GKN, Honeywell, and Leonardo
- Reduction in total number of outstanding shares
- Potential short-term market volatility due to the reverse split
- Increased warrant exercise price to $115.00 per share
Insights
Vertical Aerospace's 1:10 reverse stock split is a strategic move to boost its share price and maintain NYSE listing compliance. This action reduces outstanding shares from approximately 210 million to 21 million, potentially increasing the stock's appeal to institutional investors. However, it's important to note that this doesn't change the company's fundamental value or market capitalization.
The split affects Vertical's capital structure, including adjustments to its 2021 Incentive Award Plan, warrants, convertible notes and options. Notably, the public warrant exercise price will increase to
With
Vertical Aerospace's reverse stock split doesn't directly impact its technological progress, but it does reflect the challenges faced by eVTOL startups. The company's VX4 aircraft, promising zero operating emissions, represents a significant leap in aviation technology. However, the need for this financial maneuver suggests that the path to commercialization may be longer and more capital-intensive than initially projected.
The company's partnerships with aerospace giants like GKN, Honeywell and Leonardo are important for overcoming technical hurdles in battery technology and propulsion systems. These collaborations, combined with Vertical's in-house development, could accelerate the certification process. However, investors should note that the eVTOL market is highly competitive, with numerous players vying for dominance. Vertical's success will depend on its ability to deliver a safe, efficient and economically viable aircraft ahead of or in line with competitors.
The eVTOL market is projected to grow significantly, with some estimates placing its value at
The reverse stock split might improve Vertical's image among investors, but it doesn't address the fundamental market challenges. The company faces competition from well-funded rivals like Joby Aviation and Lilium, as well as projects from established aerospace companies. Vertical's success will hinge on factors such as regulatory approvals, infrastructure development for urban air mobility and public acceptance of eVTOL technology.
Investors should closely monitor Vertical's progress in aircraft certification, production scalability and its ability to maintain its order book. The company's location in Bristol, a UK aerospace hub and its experienced leadership team from top-tier automotive and aerospace companies are potential advantages in navigating the complex path to market.
The Reverse Share Split will become effective at 4:01 p.m. Eastern Time on September 20, 2024 (the “Effective Date”). The Company’s ordinary shares will begin trading on a split-adjusted basis when the New York Stock Exchange (“NYSE”) opens for trading on Monday, September 23, 2024 (i.e., the first trading day following the Effective Date) under the existing trading symbol “EVTL,” but the ordinary shares will trade under a new CUSIP number, G9471C206. The Company’s outstanding public warrants will continue to be traded under the symbol “EVTLW” and the CUSIP number for such public warrants will remain unchanged.
The Company obtained shareholders’ approval for the Reverse Share Split at a ratio of between 1-for-5 and 1-for-20 at the Company’s annual general meeting of the shareholders held on September 16, 2024, with the final decision of whether to proceed with the Reverse Share Split, the effective time of the Reverse Share Split, and the final reverse share split ratio to be determined by the Company’s board of directors in its sole discretion. On September 16, 2024, the Company’s board of directors approved the reverse share split ratio of 1-for-10 and the Effective Date for the Reverse Share Split.
The Reverse Share Split is intended to increase the per share trading price of the ordinary shares to enable the Company to regain compliance with the minimum share price criteria of Section 802.01C of the NYSE Listed Company Manual. As a result of the Reverse Share Split, every ten issued and unissued ordinary shares will automatically be converted into one ordinary share, and every ten preferred shares will automatically be converted into one preferred share. The Reverse Share Split will also result in a proportional decrease in the number of authorized ordinary shares and preferred shares, and a proportional increase in the par value of the ordinary shares and preferred shares, in each case in accordance with the reverse share split ratio. Upon effectiveness of the Reverse Shares Split, the Company will be authorized to issue 100,000,000 ordinary shares, par value
No fractional shares will be issued as a result of the Reverse Share Split. Instead, in lieu of any fractional shares to which a shareholder of record would otherwise be entitled as a result of the Reverse Share Split, the shareholder of record will be entitled to receive a pro rata portion of the net proceeds obtained from the aggregation and sale by the Company’s exchange agent, Continental Stock Transfer & Trust Company, of the fractional shares resulting from the Reverse Share Split (reduced by any customary brokerage fees, commissions and other expenses). Except for adjustments that may result from the treatment of fractional shares as described below, the Reverse Share Split will affect all shareholders uniformly. The proportionate voting rights and other rights and preferences of the holders of the Company’s ordinary shares will not be affected by the Reverse Share Split (other than as a result of the payment of cash in lieu of fractional shares).
The Reverse Share Split will also affect the ordinary shares issuable under the Company’s 2021 Incentive Award Plan as well as the Company’s outstanding warrants, convertible notes and options. Generally, the documents pertaining to these instruments include provisions providing for proportionate adjustments to be made in the event of a reverse share split. Specifically, the exercise price and the number of ordinary shares issuable pursuant to these instruments will be adjusted pursuant to the terms of such instruments in connection with the Reverse Share Split.
For the Company’s public warrants, as a result of the Reverse Share Split, each public warrant will be automatically adjusted to become exercisable for 1/10 of one ordinary share, meaning that ten (10) public warrants must be exercised for a holder of public warrants to receive one (1) ordinary share of the Company following the Reverse Share Split. The warrant price will also be automatically adjusted to reflect the Reverse Share Split, such that the exercise price for a holder of public warrants to receive one (1) ordinary share of the Company following the Reverse Share Split will amount to
Additional information regarding the Reverse Share Split can be found in the Company’s circular to the Company’s shareholders furnished to the Securities and Exchange Commission on a Form 6-K on August 16, 2024.
About Vertical Aerospace
Vertical Aerospace is a global aerospace and technology company pioneering electric aviation.
Vertical is creating a safer, cleaner and quieter way to travel. Vertical’s VX4 is a piloted, four passenger, Electric Vertical Take-Off and Landing (eVTOL) aircraft, with zero operating emissions. Vertical combines partnering with leading aerospace companies, including GKN, Honeywell and Leonardo, with developing its own proprietary battery and propeller technology to develop the world’s most advanced and safest eVTOL.
Vertical has 1,500 pre-orders of the VX4 worth
Vertical’s experienced leadership team comes from top tier automotive and aerospace companies such as Rolls-Royce, Airbus, GM and Leonardo. Together they have previously certified and supported over 30 different civil and military aircraft and propulsion systems.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the
View source version on businesswire.com: https://www.businesswire.com/news/home/20240916190572/en/
Justin Bates, Head of Communications
justin.bates@vertical-aerospace.com
+44 7878 357 463
Samuel Emden, Head of Investor Affairs
samuel.emden@vertical-aerospace.com
+44 7816 459 904
Source: Vertical Aerospace Ltd.
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