Apartment Investment and Management Company Sets Ratio for Reverse Stock Split
November 25 2020 - 4:15PM
Business Wire
Apartment Investment and Management Company (“Aimco”) (NYSE:
AIV) today announced that a committee of its Board of Directors has
established 1-for-1.23821 as the ratio for the previously-announced
reverse stock split of its outstanding shares of common stock.
The reverse stock split will become effective on November 30,
2020, immediately after the issuance of shares in the special
dividend described below, and Aimco's common stock will begin
trading on a split-adjusted basis on the New York Stock Exchange
("NYSE") as of the opening of trading on December 1, 2020, under
Aimco's existing symbol “AIV.” Aimco's common stock has been
assigned a new CUSIP number of 03748R747 in connection with the
reverse stock split.
When the reverse stock split becomes effective, every 1.23821 of
the Company's issued and outstanding shares of common stock will be
combined into one share, without any change to the par value per
share. No fractional shares will be issued in connection with the
reverse stock split. Stockholders who would otherwise hold a
fraction of a share will receive a cash payment in lieu thereof at
a price equal to that fraction of a share to which the stockholder
would otherwise be entitled, multiplied by $30.98 (which is the
volume weighted average trading price of a share of Aimco common
stock during the ten (10) trading day period ending at the close of
business on November 24, 2020).
The purpose of the reverse stock split is to neutralize the
dilutive impact of the stock to be issued in the special dividend
that was announced on October 23, 2020. The board of directors of
Aimco declared a special dividend on the common stock with an
aggregate value of $8.20 multiplied by the number of outstanding
shares of common stock on November 4, 2020 (the “Record Date”),
comprised of cash and common stock, and gives stockholders the
opportunity to elect to receive the special dividend in the form of
all cash or all stock, subject to proration if either option is
oversubscribed. The special dividend will be payable after the
close of business on November 30, 2020, to stockholders of record
as of the close of business on the Record Date. Total shares of
Aimco common stock outstanding following completion of both the
special dividend and the reverse stock split are expected to be
unchanged from the total shares outstanding immediately prior to
the special dividend, although some individual stockholders may
have more shares and some individual stockholders may have fewer
shares, after completion of both the special dividend and the
reverse stock split, compared to before, based on their individual
elections. The reverse stock split will ensure comparability of
Aimco per share results before and after these transactions.
The Company has retained its transfer agent, Computershare, Inc.
("Computershare"), to act as its exchange agent for the reverse
stock split. Computershare will manage the exchange of pre-split
shares for post-split shares. Stockholders of record as of the
close of business on the Record Date, will receive a letter of
transmittal providing instructions for the exchange of their
shares. Brokers, banks and other nominees will be instructed to
effect the reverse stock split for their beneficial holders who
hold shares of Aimco common stock in street name. However, these
brokers, banks and other nominees may have different procedures for
processing the reverse stock split and making payment for
fractional shares than those procedures that apply to registered
stockholders. Stockholders who hold shares of Aimco common stock
with a broker, bank or other nominee and who have any questions in
this regard are encouraged to contact their brokers, banks or other
nominees. For further information, stockholders and securities
brokers should contact Computershare by telephone at
1-800-546-5141.
About Aimco
Aimco is a real estate investment trust focused on the ownership
and management of quality apartment communities located throughout
the United States. Aimco is one of the nation’s largest owners and
operators of apartments with 125 communities in 17 states and the
District of Columbia. Aimco common shares are traded on the New
York Stock Exchange under the ticker symbol “AIV” and are included
in the S&P 500. For more information about Aimco, please visit
our website at www.aimco.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20201125005846/en/
Matt Foster Director, Investor Relations (303) 793-4661
investor@aimco.com
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