AIRPORT CITY, Israel - MySize, Inc. (NASDAQ: MYSZ), an e-commerce platform and AI-driven measurement solutions provider, has announced a one-for-eight reverse stock split of its common stock.
The move, approved by the company's Board of Directors, is set to take effect after trading closes on April 19, 2024. Starting April 23, 2024, MySize's common stock will trade on the Nasdaq Capital Market on a split-adjusted basis with a new CUSIP number.
The decision for the reverse stock split follows approval from MySize stockholders at a Special Meeting held today. The authorization enables the Board of Directors to implement a reverse stock split at a ratio between 1-for-2 and 1-for-15, aiming to boost the per share price and bid price. This strategy is intended to help MySize regain compliance with Nasdaq's continued listing requirements and appeal to certain institutional investors.
With the reverse stock split, every eight shares of MySize's outstanding common stock will be combined into one share. This action will proportionally adjust the per share exercise price and the number of shares issuable upon exercising outstanding options and warrants. While the number of authorized shares remains unchanged, the outstanding shares will decrease from approximately 5.1 million to around 0.64 million.
Shareholders owning a fractional share as a result of the reverse split will receive a rounded-up whole share. Stockholders with shares in book-entry form or through a bank, broker, or nominee need not take any action. St, those holding physical stock certificates will receive instructions from the Company's transfer agent, VStock Transfer, LLC, for exchanging their certificates.
Further details about the reverse stock split are available in MySize's definitive proxy statement filed with the Securities and Exchange Commission on March 22, 2024, and on the company's website under the SEC Filings tab in the Investor Relations section.
This announcement is based on a press release statement from MySize, Inc.
InvestingPro Insights
As MySize, Inc. (NASDAQ: MYSZ) navigates through its strategic decision to implement a reverse stock split, investors are keeping a keen eye on the company's financial health and market performance. According to real-time data from InvestingPro, MySize holds a market capitalization of $2.28 million USD.
The company's revenue has shown an impressive growth rate of 56.9% over the last twelve months as of Q4 2023, signaling a positive sales trajectory. However, it's important to note that the company has been trading at a low Price / Book multiple of 0.48, which could indicate that the stock is undervalued relative to its assets.
InvestingPro Tips suggest that while analysts are anticipating sales growth in the current year, they do not expect the company to be profitable this year. This aligns with the operational challenges reflected in the company's operating income margin of -86.76% for the same period.
The stock's recent performance also shows a strong return over the last month with a 20.99% price total return, yet it has experienced a significant decline over the last year with a -68.18% price total return.
For investors looking for a deeper dive into the company's prospects, there are additional InvestingPro Tips available, including insights on the company's cash burn rate and free cash flow yield. To access these tips and more, visit https://www.investing.com/pro/MYSZ and consider using the exclusive coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. With 15 additional InvestingPro Tips listed, investors can gain a comprehensive understanding of MySize, Inc.'s financial health and market position.
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