SHANGHAI, April 28,
2022 /PRNewswire/ -- CooTek (Cayman) Inc. (NYSE: CTK)
("CooTek" or the "Company"), a global mobile internet company,
today announced that it plans to change the ratio of its American
Depositary Shares ("ADSs") to its Class A ordinary shares (the "ADS
Ratio"), from the current ADS Ratio of one (1) ADS to fifty(50)
Class A ordinary shares to a new ADS Ratio of one (1) ADS to six
hundred and fifty (650) Class A ordinary shares.
For CooTek's ADS holders, the change in the ADS Ratio will have
the same effect as a one-for-thirteen (13) reverse ADS split. A
post-effective amendment to the ADS Registration Statement on Form
F-6 will be filed with the SEC to reflect the change in the ADS
Ratio. The Company anticipates that the change in the ADS Ratio
will be effective on or about May 9, 2022 (U.S. Eastern
Time), subject to the effectiveness of the post-effective amendment
to the ADS Registration Statement on Form F-6 on or before that
date.
Each ADS holder of record at the close of business on the date
when the change in ADS Ratio is effective will be required to
surrender and exchange every 13 existing ADSs then held for one (1)
new ADS. Deutsche Bank Trust Company Americas, as the depositary
bank for CooTek's ADS program, will arrange for the exchange of the
current ADSs for the new ones. CooTek's ADSs will continue to be
traded on the New York Stock Exchange under the symbol "CTK."
No fractional new ADSs will be issued in connection with the
change in the ADS Ratio. Instead, fractional entitlements to new
ADSs will be aggregated and sold by the depositary bank and the net
cash proceeds from the sale of the fractional ADS entitlements
(after deduction of fees, taxes and expenses) will be distributed
to the applicable ADS holders by the depositary bank. The change in
the ADS Ratio will have no impact on CooTek's underlying Class A
ordinary shares, and no Class A ordinary shares will be issued or
cancelled in connection with the change in the ADS Ratio.
As a result of the change in the ADS Ratio, the ADS trading
price is expected to increase proportionally, although the Company
can give no assurance that the ADS trading price after the change
in the ADS Ratio will be equal to or greater than 13 times the ADS
trading price before the change.
About CooTek (Cayman) Inc.
CooTek is a mobile internet company with a global vision that
offers content-rich mobile applications, focusing on three
categories: online literature, scenario-based content apps and
mobile games. CooTek's mission is to empower everyone to enjoy
relevant content seamlessly. CooTek's user-centric and data-driven
approach has enabled it to release appealing products to capture
mobile internet users' ever-evolving content needs and helps it
rapidly attract targeted users.
For more information on CooTek, please visit
https://ir.cootek.com.
Safe Harbor Statement
This press release contains forward-looking statements made
under the "safe harbor" provisions of Section 21E of the Securities
Exchange Act of 1934, as amended, and the U.S. Private Securities
Litigation Reform Act of 1995. These forward-looking statements can
be identified by terminology such as "will," "expects,"
"anticipates," "future," "intends," "plans," "believes,"
"estimates," "confident," "optimistic" and similar statements.
CooTek may also make written or oral forward-looking statements in
its reports filed with or furnished to the U.S. Securities and
Exchange Commission, in its annual report to shareholders, in press
releases and other written materials and in oral statements made by
its officers, directors or employees to third parties. Any
statements that are not historical facts, including statements
about CooTek's beliefs and expectations, are forward-looking
statements that involve factors, risks and uncertainties that could
cause actual results to differ materially from those in the
forward-looking statements. Such factors and risks include, but not
limited to the following: CooTek's mission and strategies; future
business development, financial conditions and results of
operations; the expected growth of the mobile internet industry and
mobile advertising industry; the expected growth of mobile
advertising; expectations regarding demand for and market
acceptance of our products and services; competition in mobile
application and advertising industry; relevant government policies
and regulations relating to the industry and the development and
impacts of COVID-19. Further information regarding these and other
risks, uncertainties or factors is included in the Company's
filings with the U.S. Securities and Exchange Commission. All
information provided in this press release is current as of the
date of the press release, and CooTek does not undertake any
obligation to update such information, except as required under
applicable law.
For further information, please contact:
CooTek (Cayman) Inc.
Mr. Robert Yi Cui
Email: IR@cootek.com
ICA Investor Relations (Asia)
Limited
Mr. Kevin Yang
Phone: +86-21-8028-6033
E-mail: cootek@icaasia.com
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SOURCE CooTek (Cayman) Inc.