Regis Corporation Announces Reverse Stock Split to Regain Compliance with Minimum Bid Price Requirements
November 17 2023 - 6:30AM
Business Wire
Regis Corporation (NYSE: RGS), a leader in the haircare
industry, today announced that it intends to effect a reverse stock
split of its outstanding common stock, par value $0.05 per share,
at a ratio of one-for-twenty, with an intended market effective
date of November 29, 2023.
The reverse stock split is primarily intended to bring the
Company into compliance with stock exchange minimum bid price
requirements, as the Company explores opportunities to remain
listed on a national securities exchange. The reverse stock split
is not expected to have a direct impact on the Company’s market
capitalization deficiency as previously reported in the Company’s
Current Report on Form 8-K filed on June 15, 2022, for which the
NYSE-established compliance period is scheduled to end on December
13, 2023.
Following the reverse stock split, the Company's common stock
will continue to trade under the symbol “RGS”. The new CUSIP number
for the Company’s common stock following the reverse stock split
will be 758932206. Upon the effectiveness of the reverse stock
split, every 20 shares of issued and outstanding common stock
before the open of trading on November 29, 2023 will be combined
into one issued and outstanding share of common stock, with no
change in par value per share. The Company’s common stock will open
for trading on NYSE on November 29, 2023 on a post-split basis.
The reverse stock split will reduce the number of shares of the
Company's outstanding common stock from approximately 45.6 million
shares to approximately 2.3 million shares. No fractional shares
will be issued as a result of the reverse stock split. Any
fractional shares that would result from the reverse stock split
will be cancelled in exchange for the payment of cash
consideration.
The reverse stock split will affect all issued and outstanding
shares of the Company’s common stock, as well as the number of
shares of common stock available for issuance under the Company’s
outstanding stock options and stock unit awards. The reverse stock
split will reduce the number of shares of common stock issuable
upon the exercise of stock options outstanding and the vesting of
stock unit awards outstanding immediately prior to the reverse
stock split and correspondingly increase the respective exercise
prices or other price dependent terms. The reverse stock split will
affect all shareholders uniformly and will not alter any
shareholder’s percentage interest in the Company’s equity, except
to the extent that the reverse stock split results in some
shareholders experiencing an adjustment of a fractional share as
described above.
Shareholders holding share certificates will receive information
from EQ Shareowner Services, the Company’s transfer agent,
regarding the process for exchanging their shares of common stock.
Shareholders with questions may contact our transfer agent by
calling 1-800-401-1957. Shareholders owning shares electronically
or via a broker, bank, trust or other nominee are expected to have
their positions automatically adjusted to reflect the reverse stock
split, subject to such broker’s particular processes, and will not
be required to take any action in connection with the reverse stock
split.
About Regis Corporation
Regis Corporation (NYSE:RGS) is a leader in the haircare
industry. As of September 30, 2023, the Company franchised or owned
4,811 locations. Regis’ franchised and corporate locations operate
under concepts such as Supercuts®, SmartStyle®, Cost Cutters®,
Roosters® and First Choice Haircutters®. For additional information
about the Company, please visit the Investor Information section of
the corporate website at www.regiscorp.com.
This press release contains or may contain “forward-looking
statements” within the meaning of the federal securities laws,
including statements concerning anticipated future events and
expectations that are not historical facts. These forward-looking
statements are made pursuant to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. The
forward-looking statements in this document reflect management's
best judgment at the time they are made, but all such statements
are subject to numerous risks and uncertainties, which could cause
actual results to differ materially from those expressed in or
implied by the statements herein. Such forward-looking statements
are often identified herein by use of words including, but not
limited to, “may,” “believe,” “project,” “forecast,” “expect,”
“estimate,” “anticipate,” “intend” and “plan.” In addition, the
following factors could affect the Company's actual results and
cause such results to differ materially from those expressed in
forward-looking statements. These factors include our ability to
remain listed on a national securities exchange, regain compliance
with the NYSE listing requirements, future compliance with such
requirements, potential future application of suspension and
delisting procedures and future quotation of our common stock, and
other potential factors that could affect future financial and
operating results as set forth under Item 1A of Part I of our Form
10-K and Item IA of Part II of our subsequent Form 10-Qs. We
undertake no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise. However, your attention is directed to
any further disclosures made in our subsequent annual and periodic
reports filed or furnished with the SEC on Forms 10-K, 10-Q and 8-K
and Proxy Statements on Schedule 14A.
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version on businesswire.com: https://www.businesswire.com/news/home/20231117711146/en/
Kersten Zupfer investorrelations@regiscorp.com
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