Netcapital Announces Intention to Complete a Reverse Stock Split at Special Stockholder Meeting
The reverse stock split to be proposed to the Company’s stockholders in the proxy statement is intended to resolve the issue raised in notice the Company received from the The Nasdaq Stock Market LLC (the “Nasdaq”) on September 1, 2023 regarding the Company's non-compliance with the minimum bid price requirement set forth in Nasdaq Listing Rule 5550(a)(2) for continued listing on The Nasdaq Capital Market. Specifically, Nasdaq Listing Rule 5550(a)(2) requires listed securities to maintain a minimum bid price of
The Company can regain compliance at any time within the second compliance period if the closing bid price of the Company’s common stock is at least
About Netcapital Inc.
Netcapital Inc. is a fintech company with a scalable technology platform that allows private companies to raise capital online and provides private equity investment opportunities to investors. The Company's consulting group, Netcapital Advisors, provides marketing and strategic advice and takes equity positions in select companies. The Company’s funding portal, Netcapital Funding Portal Inc. is registered with the
Forward Looking Statements
Certain statements included in this press release that are not historical facts are forward-looking statements for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are accompanied by words such as “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “should,” “would,” “plan,” “predict,” “potential,” “seem,” “seek,” “future,” “outlook,” and similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding the Company’s intent to file and disseminate a proxy statement with respect to a special meeting of the Company’s stockholders and to effect a reverse stock split if approved by the Company’s stockholders. These statements are based on the current expectations of the Company’s management and are not predictions of actual events and circumstances. All forward-looking statements are difficult or impossible to predict and will differ from assumptions, and many actual events and circumstances are beyond the control of the Company. In particular, although the Company intends to return to compliance with the Nasdaq's continued listing standards, there can be no assurance that the company will be able to do so, whether as a result of the company's inability to obtain stockholder approval for the reverse stock split or a further decline in the company's stock price. In addition, the failure of the company to remain in compliance with other Nasdaq listing standards could also result in a delisting of the Company’s common stock from the Nasdaq. The Company also reserves the right, in its discretion, to abandon the reverse stock split at any time prior to filing the applicable amendment to its certificate of incorporation with the
Important Additional Information for Stockholders
The Company encourages stockholders to read the definitive proxy statement (including any amendments or supplements) and other documents relating to the Special Meeting when they become available because they will contain important information. Stockholders may obtain a free copy of the definitive proxy statement (when filed) and other documents that the Company files with the SEC at the SEC’s website at www.sec.gov. When filed, the definitive proxy statement may also be obtained for free from the Company by directing a request to Netcapital Inc., 1 Lincoln Street,
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Investor Contact
800-460-0815
ir@netcapital.com
Source: Netcapital Inc.