Greystone Logistics Inc. Reverse Stock Split
- Company: Greystone Logistics Inc.
- Ticker: GLGI
- Market Cap: 11M
- Size of Action: Currently 230k budgeted
- Type of Transaction: Reverse stock split
- Current Price: $0.43
- Exchange Price: $0.50 per share
- Potential Gain (%): 16.2%
- Expiration: TBD
- Limit (Shares): 9,999 shares
- Max Investment ($): $4,300
- Max Gain ($): $696
- Sec Filing:http://www.sec.gov/Archives/edgar/data/1088413/000107261313000287/pre14a_17525.htm
- Summary: As a result of the Reverse Stock Split, as described in more detail below, shareholders owning fewer than 10,000 shares of our Common Stock will be cashed out at a price of $0.50 per pre-split share. Additionally, as the Company will not be issuing fractional shares, you will also receive a cash payment of $0.50 per pre-split share if your pre-split holdings would not result in the issuance of whole shares. The intended effect of the Reverse Stock Split is to reduce the number of record holders of our Common Stock to fewer than 300 so that we will be eligible to terminate the public registration of our Common Stock under the Securities Exchange Act of 1934, as amended (the "Exchange Act"). Provided that the Reverse Stock Split has the intended effect, we will file to deregister our Common Stock with the Securities and Exchange Commission (the "Commission") and our Common Stock will no longer be eligible for trading in the OTCQB. In such case, we will no longer be required to file periodic reports with the Commission.
- Notes: Seems like a great deal at first look. But there are risks involved: need to be weigh the risk of the company not going through with the reverse stock split. This could happen because too many people buy in before the deal.
This entry was posted in Going Private Transactions
. Bookmark the permalink