30 January 2012

Emcore announces 4:1 reverse stock split

Emcore Corp of Albuquerque, NM, USA, which makes components, subsystems and systems for the fiber-optic and solar power markets, says that its board of directors has approved a 1-for-4 reverse split of its common stock.

The reverse stock split was approved by shareholders at the firm's annual meeting on 14 June 2011, and will become effective following the filing of an amendment to Emcore's corporate charter.

Emcore has set 15 February as the record date for the reverse split and expects that its common stock will begin trading on the NASDAQ Global Market on a split-adjusted basis at the opening of trading on 16 February. Nasdaq may append a ‘D’ to the end of Emcore's current trading symbol to indicate the reverse stock split, but the trading symbol would revert to 'EMKR' after about 20 trading days. Also, Emcore common stock will trade under a new CUSIP number following the effect of the reverse split.

When the reverse stock split becomes effective, every four shares of issued and outstanding Emcore common stock will be automatically combined into one share without any change in the no par value per share or rights and preferences of common stock. This will reduce the number of issued and outstanding shares of Emcore common stock from about 94.0 million to about 23.5 million. No fractional shares will be issued in connection with the reverse stock split, as any fractional shares that result from the reverse split will be rounded up to the next whole share. Furthermore, proportional adjustments will be made to Emcore options, warrants and other securities, entitling their holders to purchase Emcore shares. The number of authorized shares will also be proportionally reduced from 200 million to 50 million. 

Additional information regarding the reverse stock split may be found in Emcore’s definitive proxy statement filed with the US Securities and Exchange Commission (SEC) on 5 May 2011.  

See related items:

Emcore’s quarterly revenue grows 5% sequentially to $52.1m

Emcore quarterly revenue rises 5% to $49.5m

Emcore quarterly revenue falls 2% year-on-year

Emcore’s revenue falls 4% due to ITC parallel-optical module ruling

Emcore’s net loss slashed to $0.9m as quarterly revenue grows 16%

Tags: Emcore

Visit: www.emcore.com