Vroom Provides Update on Common Stock Trading
Vroom has provided an update regarding the trading status of its common stock and warrants following its emergence from Chapter 11 bankruptcy on January 14, 2025. The company has confirmed that all post-emergence shares and warrants, adjusted according to the previously announced conversion ratio, were delivered by January 15th and should now be visible in shareholders' brokerage accounts.
The company is actively working to resume trading on a national securities exchange under the VRM ticker, though no specific timeline for relisting has been provided. Management emphasizes they are working expeditiously to complete the relisting process.
Vroom ha fornito un aggiornamento riguardo allo stato delle negoziazioni delle sue azioni ordinarie e dei warrant a seguito della sua uscita dal capitolo 11 della bancarotta il 14 gennaio 2025. L'azienda ha confermato che tutte le azioni e i warrant post-emergenza, adeguati secondo il rapporto di conversione precedentemente annunciato, sono stati consegnati entro il 15 gennaio e ora dovrebbero essere visibili nei conti di intermediazione degli azionisti.
L'azienda sta lavorando attivamente per riprendere la negoziazione su un mercato nazionale dei titoli sotto il ticker VRM, anche se non è stata fornita una tempistica specifica per la nuova quotazione. La direzione sottolinea che stanno lavorando con sollecitudine per completare il processo di nuova quotazione.
Vroom ha proporcionado una actualización sobre el estado de negociación de sus acciones ordinarias y warrants tras su salida de la bancarrota del capítulo 11 el 14 de enero de 2025. La compañía ha confirmado que todas las acciones y warrants posteriores a la salida, ajustados según la relación de conversión previamente anunciada, fueron entregados para el 15 de enero y deberían ser visibles ahora en las cuentas de corretaje de los accionistas.
La compañía está trabajando activamente para reanudar la negociación en una bolsa de valores nacional bajo el ticker VRM, aunque no se ha proporcionado un calendario específico para la re-lista. La dirección enfatiza que están trabajando con rapidez para completar el proceso de re-lista.
Vroom은 2025년 1월 14일 챕터 11 파산에서 벗어난 이후 일반 주식 및 워런트의 거래 상태에 대한 업데이트를 제공했습니다. 회사는 이전에 발표된 전환 비율에 따라 조정된 모든 포스트 에머전스 주식과 워런트가 1월 15일까지 전달되었으며 이제 주주들의 중개 계좌에서 볼 수 있어야 한다고 확인했습니다.
회사는 VRM 티커를 통해 국가 증권 거래소에서 거래를 재개하기 위해 적극적으로 노력하고 있으며, 재상장에 대한 구체적인 일정은 제공되지 않았습니다. 경영진은 재상장 프로세스를 신속하게 완료하기 위해 노력하고 있다고 강조했습니다.
Vroom a fourni une mise à jour concernant le statut de négociation de ses actions ordinaires et de ses bons de souscription après son émergence de la faillite au chapitre 11 le 14 janvier 2025. La société a confirmé que toutes les actions et bons de souscription post-émergence, ajustés selon le ratio de conversion précédemment annoncé, avaient été livrés d'ici le 15 janvier et devraient désormais être visibles dans les comptes de courtage des actionnaires.
La société travaille activement à la reprise des transactions sur une bourse nationale sous le ticker VRM, bien qu'aucun calendrier spécifique pour le repliement n'ait été fourni. La direction souligne qu'elle travaille rapidement pour achever le processus de repliement.
Vroom hat ein Update zum Handelsstatus seiner Stammaktien und Warrants nach seinem Ausstieg aus der Chapter-11-Insolvenz am 14. Januar 2025 bereitgestellt. Das Unternehmen hat bestätigt, dass alle nach dem Ausstieg ausgegebenen Aktien und Warrants, die gemäß dem zuvor angekündigten Umwandlungsverhältnis angepasst wurden, bis zum 15. Januar geliefert wurden und nun in den Depots der Aktionäre sichtbar sein sollten.
Das Unternehmen arbeitet aktiv daran, den Handel an einer nationalen Wertpapierbörse unter dem VRM-Ticker wieder aufzunehmen, obwohl kein spezifischer Zeitrahmen für die Wiederaufnahme angegeben wurde. Das Management betont, dass es zügig am Abschluss des Wiederimplementierungsprozesses arbeitet.
- Successfully emerged from Chapter 11 bankruptcy
- Completed delivery of post-emergence shares and warrants
- Actively pursuing relisting on a national securities exchange
- Trading remains suspended with no clear timeline for resumption
- Uncertainty regarding the final exchange listing approval
Insights
The completion of Vroom's post-bankruptcy share distribution marks a critical milestone in the company's restructuring process. The delivery of new shares and warrants to existing shareholders by January 15th represents the mechanical execution of the company's reorganization plan, but investors should understand several key implications:
Trading Dynamics: During this interim period before relisting on a major exchange, VRM shares may experience liquidity and potentially higher volatility. Typically, companies emerging from bankruptcy face a complex process that can take anywhere from several weeks to months before achieving relisting status, as they must meet strict exchange requirements including minimum share price, market capitalization and corporate governance standards.
Stakeholder Impact: Different groups face varying scenarios:
- Existing shareholders now hold restructured equity positions based on the conversion ratio from the bankruptcy plan
- Institutional investors may face temporary portfolio valuation challenges due to price discovery
- New investors should exercise caution as trading volumes may be constrained until regular exchange trading resumes
While the company's efforts to expedite the relisting process are positive, the lack of a specific timeline suggests potential regulatory or administrative hurdles remain. The success of post-bankruptcy companies often hinges on their ability to quickly restore normal trading operations and market confidence.
- All post-emergence shares of common stock and warrants, reflecting the previously announced conversion ratio, were delivered by January 15th and should be visible in shareholder brokerage accounts.
- Vroom is working to resume trading on a national securities exchange. While an estimated opening date is currently not available, the Company is working expeditiously to relist the VRM ticker as soon as possible.
About Vroom (Nasdaq: VRM)
Vroom owns and operates United Auto Credit Corporation (UACC), a leading automotive lender serving the independent and franchise dealer market nationwide, and CarStory, a leader in AI-powered analytics and digital services for automotive retail. Prior to January 2024, Vroom also operated an end-to-end ecommerce platform to buy and sell used vehicles. Pursuant to its previously announced Value Maximization Plan, Vroom discontinued its ecommerce operations and wound down its used vehicle dealership business.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including without limitation statements regarding the delivery of all shares of common stock and warrants, our intention to list our common stock and warrants on a national securities exchange, and the timing of any of the foregoing. These statements are based on management’s current assumptions and are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Factors that could cause actual results to differ materially from the forward-looking statements in this press release include: following the effectiveness of the plan of reorganization contemplated by the RSA, certain holders of claims or causes of action relating to the unsecured Notes, if they choose to act together, will have the ability to significantly influence all matters submitted to stockholders of the reorganized company for approval; our business could suffer from a long and protracted restructuring; as a result of the prepackaged Chapter 11 case, our historical financial information will not be indicative of our future performance; we are subject to claims that will not be discharged in the prepackaged Chapter 11 case, which could have a material adverse effect on our financial condition and results of operations; the prepackaged Chapter 11 case may cause us to experience increased levels of employee attrition; upon our emergence from bankruptcy, the composition of our board of directors may change; the prepackaged Chapter 11 case raises substantial doubt regarding our ability to continue as a going concern; our indebtedness and liabilities could limit the cash flow available for our operations, expose us to risks that could materially adversely affect our business, financial condition and results of operations and impair our ability to satisfy our debt obligations; we may be unable to satisfy a continued listing rule from Nasdaq, and if we are delisted, we may not be able to satisfy an initial listing rule from Nasdaq or another national securities exchange; our tax attributes and future tax deductions may be reduced or significantly limited as a result of the consummation of the plan of reorganization; there are risks associated with the discontinuance of our ecommerce operations and wind-down of our used vehicle dealership business; we may not generate sufficient liquidity to operate our business; as well as the other important risks and uncertainties identified under the heading “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2023, as updated by our Quarterly report on Form 10-Q for the quarter ended September 30, 2024, which is available on our Investor Relations website at ir.vroom.com and on the SEC website at www.sec.gov. All forward-looking statements reflect our beliefs and assumptions only as of the date of this press release. We undertake no obligation to update forward-looking statements to reflect future events or circumstances.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250121808874/en/
Investor Relations:
Vroom
Jon Sandison
investors@vroom.com
Source: Vroom, Inc.
FAQ
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