LOS ANGELES, May 2, 2013 /PRNewswire/ --Seven Arts
Entertainment Inc. (OTCQB: SAPX) ("Seven Arts") today announced a
1-for-50 reverse split of its common stock, effective as of
4:01 p.m. EDT, May 2, 2013.
The reverse split will combine and convert every fifty shares of
Seven Arts' outstanding common stock into one share of new common
stock. Resulting fractional shares will round up to the next whole
share. This will enable Seven Arts to continue its long-standing
debt reduction program through the conversion of certain debt into
equity.
"I look forward to continuing the Company's on-going efforts to
clean up its balance sheet, bringing new investors and projects to
the table, and expanding revenue streams to create stockholder
value," said Vince Vellardita,
Chairman/President of Seven Arts. "My goal is to bring the company
back to when it was thriving on NASDAQ, and this is a step along
that path."
Approximately 4,302,653 outstanding shares of common stock are
expected after completion of the reverse split, and will trade
under the new CUSIP number 81783N300 and under the trading symbol
"SAPXD" and will revert to the historic trading symbol of "SAPX" at
the end of the month.
Seven Arts has also reduced the number of authorized shares of
its common stock using the same 1-for-50 ratio. The number of
authorized shares of its capital stock has not changed. The Board
of Directors has designated the resulting shares of Seven Arts'
unallocated capital stock as authorized common stock. This
increases the aggregate authorized shares of common stock to 249
million.
Prior to the reverse split and common stock allocation, Seven
Arts did not have sufficient unissued and unreserved shares of
common stock to continue its debt reduction program.
About Seven Arts Entertainment Inc.:
Seven Arts Entertainment Inc. was founded in 2002 as an
independent motion picture production and distribution company
engaged in the development, acquisition, financing, production and
licensing of theatrical motion pictures for exhibition in domestic
(i.e., the United States and
Canada) and foreign theatrical
markets, and for subsequent worldwide release in other forms of
media, including home video and pay and free television.
Cautionary Information Regarding Forward-Looking
Statements.
Forward-looking statements contained in this press release are
made under the Safe Harbor Provision of the Private Securities
Litigation Reform Act of 1995. Any such statements are
subject to risks and uncertainties that could cause actual results
to differ materially from the anticipated. The information
contained in this release is as of May
2, 2013. Seven Arts assumes no obligation to update
forward-looking statements contained in this release as the result
of new information or future events or developments.
Contact:
Seven Arts Entertainment Inc.
Peter Hoffman
323-372-3080
phoffman@7artspictures.com
SOURCE Seven Arts Entertainment Inc.