In a move to comply with Nasdaq’s minimum bid price requirement, Sonim Technologies Inc . (NASDAQ:) has announced a 1-for-10 reverse stock split of its common stock. The decision, taken by the Board of Directors, is set to take effect after market hours today, with the stock trading on a split-adjusted basis from the opening of the market on Wednesday, July 18, 2024.

The reverse stock split was approved by the company’s stockholders at the annual meeting on June 20, 2024, and the Board was authorized to determine the exact split ratio. The chosen 1-for-10 ratio means that for every ten shares of Sonim common stock held by shareholders, they will now own one share. This consolidation is intended to boost the per-share trading price of the company’s stock, ensuring Sonim remains in accordance with Nasdaq’s listing standards.

Shareholders will not receive fractional shares in the reverse split; instead, they will be rounded up to the nearest whole share. This adjustment will be made automatically for shareholders holding shares in electronic form. Sonim has stated that it does not believe any of its shares are currently held in certificated form.

This current report on Form 8-K contains forward-looking statements, and Sonim cautions that various factors could cause actual results to differ materially from these statements. The company has not provided any guidance on the expected impact of the reverse stock split on its financial position or market capitalization.

The information in this article is based on a press release statement filed with the SEC.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.