Nuwellis Announces Reverse Stock Split
Rhea-AI Summary
Nuwellis announced a 1-for-35 reverse stock split of its common stock, effective June 27, 2024. Post-split, trading will commence on June 28, 2024, under the symbol NUWE on The Nasdaq Capital Market. Approved by shareholders on June 6, 2024, the reverse split will consolidate every thirty-five shares into one, while maintaining the total authorized shares at 100 million. Any fractional shares resulting from this will be rounded down, with shareholders receiving cash equivalent for the market value of the fractional share. The new CUSIP number for the common stock post-split is 67113Y603. More details are available in the proxy statement filed with the SEC on May 17, 2024, and on the company's Investor Relations page.
Positive
- Approved 1-for-35 reverse stock split to potentially enhance share value.
- Shareholders to receive cash for fractional shares, ensuring fair compensation.
Negative
- Reverse stock split reduces the number of outstanding shares, which may signal financial instability.
- Shareholders' equity diluted due to the consolidation of shares.
News Market Reaction 1 Alert
On the day this news was published, NUWE declined 34.25%, reflecting a significant negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
MINNEAPOLIS, June 26, 2024 (GLOBE NEWSWIRE) -- Nuwellis, Inc. (Nasdaq: NUWE) (“Nuwellis” or the “Company”), a medical technology company focused on transforming the lives of people with fluid overload, announced today a 1-for-35 reverse split (the “Reverse Stock Split”) of its common stock, par value
At the Company’s annual meeting of stockholders on June 6, 2024, its stockholders approved a proposal to amend the Company’s Fourth Amended and Restated Certificate of Incorporation to effect such a reverse split of the Company’s outstanding Common Stock at a ratio in the range of 1-for-5 to 1-for-70 to be determined at the discretion of our Board of Directors.
As a result of the Reverse Stock Split, every thirty-five shares of authorized Common Stock will be automatically combined into one share of Common Stock. The number of authorized shares of the Company’s Common Stock will remain at 100 million, while the number of outstanding shares will be reduced in accordance with the Reverse Stock Split. Any fraction of a share of Common Stock that would be created as a result of the Reverse Stock Split will be rounded down to the next whole share and the stockholder will receive cash equal to the market value of the fractional share, determined by multiplying such fraction by the closing sales price of the Company’s Common Stock as reported on Nasdaq on the last trading day before the Reverse Stock Split becomes effective (on a split-adjusted basis).
The Company’s Common Stock will continue to trade on The Nasdaq Capital Market under the symbol “NUWE”. The new CUSIP number for the Common Stock following the reverse split is 67113Y603.
Additional information about the Reverse Stock Split can be found in the Company’s definitive proxy statement filed with the Securities and Exchange Commission on May 17, 2024, a copy of which is also available on the Company’s website under the Investor Relations page.
About Nuwellis
Nuwellis, Inc. (Nasdaq: NUWE) is a medical technology company dedicated to transforming the lives of patients suffering from fluid overload through science, collaboration, and innovation. The company is focused on commercializing the Aquadex SmartFlow® system for ultrafiltration therapy. Nuwellis is headquartered in Minneapolis, with a wholly owned subsidiary in Ireland. For more information visit www.nuwellis.com or visit us on LinkedIn or Twitter
Investor:
Vivian Cervantes
Gilmartin Group
ir@nuwellis.com
FAQ
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