Siyata Announces Reverse Stock Split
Siyata Mobile Inc. (Nasdaq: SYTA, SYTAW) has announced a 1-for-18 reverse stock split of its common shares, effective August 2, 2024. This move is primarily aimed at maintaining Nasdaq listing compliance by meeting the $1.00 minimum bid price requirement. The company's shares will continue trading under the symbol 'SYTA' with a new CUSIP number. The reverse split will automatically convert 18 current shares into one new share, adjusting all outstanding stock options, warrants, and convertible securities accordingly. No fractional shares will be issued, with all fractions rounded up. While the split doesn't change the par value or authorized number of shares, it's important to note that compliance with Nasdaq's minimum bid price is not guaranteed.
Siyata Mobile Inc. (Nasdaq: SYTA, SYTAW) ha annunciato un raggruppamento azionario inverso 1-per-18 delle sue azioni ordinarie, in vigore dal 2 agosto 2024. Questa mossa è principalmente volta a mantenere la conformità con le normative di quotazione Nasdaq soddisfacendo il requisito di un prezzo di offerta minimo di $1.00. Le azioni della società continueranno a essere scambiate con il simbolo 'SYTA' e un nuovo numero CUSIP. Il raggruppamento inverso converte automaticamente 18 azioni attuali in una nuova azione, adeguando di conseguenza tutte le opzioni azionarie, i warrant e i titoli convertibili in circolazione. Non verranno emesse azioni frazionarie, con tutte le frazioni arrotondate per eccesso. Anche se il raggruppamento non cambia il valore nominale o il numero autorizzato di azioni, è importante notare che la conformità con il prezzo minimo di offerta di Nasdaq non è garantita.
Siyata Mobile Inc. (Nasdaq: SYTA, SYTAW) ha anunciado un split inverso de acciones 1 por 18 de sus acciones ordinarias, efectivo a partir del 2 de agosto de 2024. Este movimiento tiene como objetivo principal mantener el cumplimiento de la cotización en Nasdaq al cumplir con el requisito de un precio mínimo de oferta de $1.00. Las acciones de la empresa continuarán cotizando bajo el símbolo 'SYTA' con un nuevo número CUSIP. El split inverso convertirá automáticamente 18 acciones actuales en una nueva acción, ajustando todas las opciones sobre acciones, warrants y valores convertibles en consecuencia. No se emitirán acciones fraccionarias, y todas las fracciones se redondearán al alza. Si bien el split no cambia el valor nominal ni el número autorizado de acciones, es importante señalar que el cumplimiento con el precio mínimo de oferta de Nasdaq no está garantizado.
Siyata Mobile Inc. (Nasdaq: SYTA, SYTAW)는 1대 18의 역주식분할을 2024년 8월 2일부터 시행한다고 발표했습니다. 이 조치는 주로 나스닥 상장 요건 준수를 유지하기 위한 것으로, $1.00의 최소 입찰가 요건을 충족하기 위해 이루어졌습니다. 회사의 주식은 'SYTA' 기호 아래 계속 거래되며 새로운 CUSIP 번호가 부여됩니다. 역주식분할은 현재 18주의 주식을 자동으로 1주의 새로운 주식으로 전환하고, 모든 미지급 주식 옵션, 워런트 및 전환 가능한 증권을 조정합니다. 분할된 주식의 일부는 발행되지 않으며 모든 잔여 주식은 올림 처리됩니다. 이 분할은 액면가나 승인된 주식 수를 변경하지 않지만, 나스닥의 최소 입찰가 요건 준수가 보장되지 않음을 유의해야 합니다.
Siyata Mobile Inc. (Nasdaq: SYTA, SYTAW) a annoncé un rachat d'actions inversé 1 pour 18 de ses actions ordinaires, qui entrera en vigueur le 2 août 2024. Ce mouvement vise principalement à maintenir la conformité au classement Nasdaq en respectant l'exigence d'un prix d'offre minimum de 1,00 $. Les actions de l'entreprise continueront d'être échangées sous le symbole 'SYTA' avec un nouveau numéro CUSIP. Le rachat inversé convertira automatiquement 18 actions existantes en une nouvelle action, ajustant en conséquence toutes les options d'actions en circulation, les warrants et les titres convertibles. Aucune action fractionnaire ne sera émise, toutes les fractions étant arrondies à l'unité supérieure. Bien que la division ne modifie ni la valeur nominale ni le nombre d'actions autorisées, il est important de noter que la conformité avec le prix d'offre minimum de Nasdaq n'est pas garantie.
Siyata Mobile Inc. (Nasdaq: SYTA, SYTAW) hat einen 1-zu-18-Rücksplitt seiner Stammaktien bekannt gegeben, der am 2. August 2024 in Kraft tritt. Dieser Schritt zielt hauptsächlich darauf ab, die Einhaltung der NASDAQ-Listing-Anforderungen aufrechtzuerhalten, indem die Mindestgebotsanforderung von $1,00 erfüllt wird. Die Aktien des Unternehmens werden weiterhin unter dem Symbol 'SYTA' mit einer neuen CUSIP-Nummer gehandelt. Der Rücksplit wird automatisch 18 bestehende Aktien in eine neue Aktie umwandeln, wobei alle ausstehenden Aktienoptionen, Warrants und wandelbaren Wertpapiere entsprechend angepasst werden. Es werden keine Bruchaktien ausgegeben, alle Brüche werden aufgerundet. Während der Split den Nennwert oder die autorisierte Anzahl von Aktien nicht ändert, ist es wichtig zu beachten, dass die Einhaltung des Mindestgebotspreises von NASDAQ nicht garantiert ist.
- Potential to maintain Nasdaq listing compliance
- No change in authorized number of shares or par value
- Significant share consolidation (18:1 ratio)
- No guarantee of meeting Nasdaq's minimum bid price requirement
- Potential dilution for existing shareholders due to rounding up of fractional shares
Insights
Siyata Mobile's announcement of a 1-for-18 reverse stock split is a significant move aimed at maintaining its Nasdaq listing. This decision highlights the company's struggle to meet the
The reverse split will mechanically increase the stock price by reducing the number of outstanding shares, but it's important to note that this doesn't change the company's underlying value or market capitalization. Investors should be aware that reverse splits are often viewed negatively in the market, as they can signal financial distress or a lack of organic growth.
Key points to consider:
- The split takes effect on August 2, 2024, with trading on a post-split basis beginning that day.
- The move will affect all outstanding securities, including options and warrants, which will be adjusted accordingly.
- No fractional shares will be issued, with all fractions rounded up to the next whole number.
While this action may temporarily bring Siyata into compliance with Nasdaq requirements, it doesn't address the fundamental issues causing the low stock price. Investors should closely monitor the company's financial performance and growth strategies in the coming quarters to assess whether this move will have any lasting positive impact.
Siyata Mobile's reverse stock split decision reflects broader trends in the microcap technology sector, where companies often struggle to maintain compliance with major exchange listing requirements. This move could have several implications for market perception and investor behavior:
- Liquidity concerns: The reduced number of outstanding shares may lead to decreased trading volume, potentially affecting liquidity and widening bid-ask spreads.
- Institutional interest: Some institutional investors have minimum share price thresholds for investment consideration. The higher post-split price might attract more institutional attention, but this is not guaranteed.
- Short-term volatility: Reverse splits often lead to increased short-term price volatility as the market adjusts to the new share structure.
- Investor psychology: Retail investors might view the split negatively, associating it with companies in financial distress, which could lead to selling pressure.
It's worth noting that Siyata operates in the growing Push-to-Talk over Cellular (PoC) and cellular signal booster markets. The company's ability to capitalize on these opportunities will be important in determining whether this financial maneuver translates into long-term value for shareholders. Investors should look beyond the split and focus on Siyata's product pipeline, revenue growth and market penetration strategies in the coming months.
Reverse Stock-Split to be effective on August 2, 2024
The Reverse Stock Split is primarily intended to bring the Company into compliance with the
The 1-for-18 reverse stock split (the "Ratio") will automatically combine and convert 18 current shares of the Company's Common Share into one issued and outstanding new share of Common Share. Each outstanding stock option, pre-funded warrant, share purchase warrant, and other convertible security of the Company convertible into pre-Reverse Stock Split Common Shares that has not been exercised or cancelled prior to the effective date of the implementation of the Reverse Stock Split will be adjusted pursuant to the terms of the instrument or plan governing such security on the same Reverse Stock Split Ratio described above, and each holder of such pre-Reverse Stock Split convertible securities will become entitled to receive post-Reverse Stock Split Common Shares pursuant to such adjusted terms. The Reverse Stock Split will not change the par value of the Common Share nor the authorized number of shares of Common Share, preferred stock or any series of preferred stock.
No fractional shares will be issued in connection with the Reverse Stock Split. All fractional shares will be rounded up to the next higher whole number.
The Company's transfer agent, Computershare, will serve as exchange for the Reverse Stock Split. Registered shareholders holding pre-split shares of the Company's Common Share electronically in book-entry form are not required to take any action to receive post-split shares. Shareholders owning shares via a broker, bank, trust or other nominee will have their positions automatically adjusted to reflect the Reverse Stock Split, subject to such broker's particular processes, and will not be required to take any action in connection with the Reverse Stock Split. Holders of stock certificates will need to send their old physical certificates with a letter of transmittal to receive their new post-Reverse Stock Split certificate.
About Siyata Mobile
Siyata Mobile Inc. is a B2B global vendor of next generation Push-To-Talk over Cellular devices, cellular booster systems, and video monitoring solutions. Its portfolio of in-vehicle and rugged devices enable first responders and enterprise workers to instantly communicate, over a nationwide cellular network of choice, to increase situational awareness and save lives.
Its portfolio of enterprise grade and consumer cellular booster systems enables first responders and enterprise workers to amplify cellular signals in remote areas, inside structural buildings where signals are weak and within vehicles for the maximum cellular signal strength possible.
For its video monitoring system, Siyata integrates software that we license with off-the-shelf hardware providing our customers with an integrated advanced camera system for management and visual monitoring of their fleet vehicles.
Siyata's Common Shares trade on the Nasdaq under the symbol "SYTA" and its previously issued warrants trade on the Nasdaq under the symbol "SYTAW."
Visit siyatamobile.com and unidencellular.com to learn more.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 and other Federal securities laws. Words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates" and similar expressions or variations of such words are intended to identify forward-looking statements. Because such statements deal with future events and are based on Siyata's current expectations, they are subject to various risks and uncertainties and actual results, performance or achievements of Siyata could differ materially from those described in or implied by the statements in this press release. The forward-looking statements contained or implied in this press release are subject to other risks and uncertainties, including those discussed under the heading "Risk Factors" in Siyata's filings with the Securities and Exchange Commission ("SEC"), and in any subsequent filings with the SEC. Except as otherwise required by law, Siyata undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. References and links to websites and social media have been provided as a convenience, and the information contained on such websites or social media is not incorporated by reference into this press release.
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SOURCE Siyata Mobile Inc.
FAQ
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