FOXO Technologies Inc. Implements Reverse Stock Split
FOXO Technologies Inc. (NYSE American: FOXO) has made an important decision to implement a 1 for 10 reverse stock split. This move, sanctioned by the company’s Board of Directors, aims to enhance the company’s stock price trading status.
Details of the Reverse Stock Split
The reverse stock split will take effect at 4:01 PM ET soon, with trading on a split-adjusted basis commencing the following day. Under this plan, every ten shares of the company’s Class A common stock will automatically combine into one single share, maintaining the par value at $0.0001.
Reason Behind the Decision
This decision is pivotal for maintaining compliance with NYSE American requirements, which stipulate that a stock must trade above $0.10 to remain listed. The management team of FOXO believes this move will contribute positively to their market standing without affecting current operations.
Impact on Shareholders
For shareholders, this means that despite the stock split, their overall ownership stake in the company remains unchanged, except for those holding fractional shares, which will be rounded up to the nearest whole share. This fair treatment aims to ensure that all shareholders feel secure in their investment.
Adjustment of Options and Warrants
Additionally, any existing stock options, warrants, and equity incentives will be adjusted proportionally according to the new stock structure. This change ensures that the value of these financial instruments remains consistent with the new stock price.
Role of Continental Stock Transfer & Trust Company
Continental Stock Transfer & Trust Company, known as CST, will function as the exchange agent during this transition. They will provide necessary instructions to stockholders regarding how to exchange their shares for the newly adjusted stock. Those with shares currently held in “street name” should expect guidance from their respective brokers.
About FOXO Technologies Inc.
FOXO Technologies Inc. is dedicated to innovation, operating through three key subsidiaries focused on health and biotechnology. Their structure consists of:
Rennova Community Health, Inc.
This subsidiary runs the Scott County Community Hospital, recognized as a critical access hospital in East Tennessee, delivering vital healthcare services.
Myrtle Recovery Centers, Inc.
Here, FOXO offers a crucial 30-bed behavioral health facility that provides comprehensive inpatient and outpatient treatment services, addressing diverse recovery needs.
Foxo Labs, Inc.
Aiming to enhance human health, Foxo Labs is at the forefront of biotechnological advancements, focusing on innovative products and solutions.
To learn more about FOXO and its operations, visit www.foxotechnologies.com.
Frequently Asked Questions
What is the purpose of the reverse stock split for FOXO?
The reverse stock split aims to ensure that the company’s stock price remains above the required threshold for NYSE listing compliance.
When will the reverse stock split take effect?
The reverse stock split will become effective shortly, specifically at 4:01 PM ET, with trading adjusted by the next market opening.
How will this affect stockholders?
Stockholders will experience a reduction in the number of shares they own, but their ownership percentage in the company will remain the same, aside from fractional shares.
What will happen to outstanding options and warrants?
All stock options and warrants will be adjusted proportionally to align with the new stock structure resulting from the split.
Who should I contact for more information?
For additional queries, stockholders can reach out to Sebastien Sainsbury at (561) 485-0151 or via email for further assistance.
