TAOP Announces 1-for -6 Reverse Stock Split
Taoping (TAOP) announced a 1-for-6 reverse stock split effective July 30, 2020, in response to the NASDAQ's $1 minimum bid price requirement. Following the split, Taoping will have approximately 7.3 million shares outstanding. Shareholders will receive instructions from Transhare Corporation for exchanging certificates. All options and warrants will be adjusted to reflect the split, but the total authorized shares will remain unchanged. This move aims to enhance the stock price and ensure continued listing on NASDAQ.
- The reverse stock split aims to satisfy NASDAQ's minimum bid price requirement, potentially stabilizing the stock.
- Adjusted share structure could attract new investors by increasing share price.
- The necessity of a reverse stock split may indicate underlying issues with stock performance.
- Reverse splits can sometimes convey a negative perception in the market, suggesting instability.
SHENZHEN, China, July 29, 2020 (GLOBE NEWSWIRE) -- Taoping Inc. (NASDAQ: TAOP), a leading provider of internet-based smart display screens, and a new-media ecosystem that enables targeted advertising and online retail, today announced that the board of directors of the Company has approved a one (1)-for-six (6) reverse stock split of issued and outstanding ordinary shares, no par value, of the Company. The reverse stock split is expected to be effective at the market opening on July 30, 2020, at which time the Company's ordinary shares will begin trading on the NASDAQ Stock Market on a split-adjusted basis. The Company’s ordinary shares will continue to trade under the symbol “TAOP” but with a new CUSIP number.
Once the reverse stock split becomes effective, existing shareholders holding certificates of ordinary shares are expected to receive instructions from the Company's transfer agent, Transhare Corporation, regarding procedures for exchanging share certificates. All outstanding options, warrants and other rights to purchase the Company's ordinary shares will be adjusted proportionately as a result of the reverse stock split.
The reverse stock split is intended to increase the per share trading price of the Company's ordinary shares to satisfy the
About Taoping Inc.
Taoping Inc. (formerly known as China Information Technology, Inc.) (TAOP), is a leading provider of smart display terminals and solutions for targeted advertising and online retails. The Company provides the integrated end-to-end digital advertising solutions enabling customers to distribute and manage ads on cloud-based ad display screens. Connecting owners of Taoping screens, advertisers and consumers, it builds up a resource sharing "Smart IoT Screen Network- Taoping App - Taoping Go (e-Store)" media ecosystem to ultimately achieve the mission "our technology makes advertising and branding affordable and effective for everyone." To learn more, please visit http://www.taop.com/.
Safe Harbor Statement
This press release may contain certain “forward-looking statements” relating to the business of Taoping Inc. and its subsidiaries and other consolidated entities. All statements, other than statements of historical fact included herein, are “forward-looking statements” in nature within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, often identified by the use of forward-looking terminologies such as “believes”, “expects” or similar expressions, involve known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company’s actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company’s periodic reports that are filed with the Securities and Exchange Commission and available on its website (http://www.sec.gov). All forward-looking statements attributable to the Company and its subsidiaries and other consolidated entities or persons acting on their behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.
For further information, please contact:
| Taoping Inc. | |
| Chang Qiu | |
| Email: chang_qiu@taoping.cn | |
| or | |
| Dragon Gate Investment Partners LLC | |
| Tel: +1 (646)-801-2803 | |
| Email: taop@dgipl.com |
FAQ
What is the purpose of Taoping's reverse stock split?
When will Taoping's reverse stock split take effect?
How many shares will Taoping have after the reverse stock split?
What happens to existing shareholders after the reverse stock split?
Will Taoping's stock symbol change after the reverse stock split?
