NewGenIvf Group Limited announces a 1-for-20 reverse stock split to regain Nasdaq compliance by February 11, 2025.
Quiver AI Summary
NewGenIvf Group Limited has announced a reverse stock split of its shares at a ratio of one for every twenty shares, aiming to regain compliance with Nasdaq's minimum bid price requirement of $1.00 per share. This decision, approved by the Board of Directors on January 21, 2025, will reduce the number of outstanding Class A ordinary shares from approximately 27.07 million to about 1.35 million. The split will take effect on February 11, 2025, with shares continuing to trade under the ticker symbol "NIVF." In the event that any shareholders would receive fractional shares, they will instead receive one full share. The company, which operates fertility service clinics in Thailand, Cambodia, and Kyrgyzstan, emphasizes its commitment to providing access to infertility treatments for individuals and couples.
Potential Positives
- Implementation of a reverse stock split to help regain compliance with Nasdaq's $1.00 per share minimum bid price requirement, enhancing the company's market standing.
- Reduction of outstanding Class A Ordinary Shares from approximately 27.07 million to approximately 1.35 million, potentially increasing the perceived value of remaining shares.
- The approval of the reverse stock split by the Board of Directors signals proactive management actions aimed at improving the company’s financial performance.
- Continues to provide a full suite of fertility services across multiple countries, reinforcing its commitment to helping individuals and couples facing fertility challenges.
Potential Negatives
- The reverse stock split indicates ongoing financial struggles, as it is a mechanism often employed by companies that are failing to meet stock price requirements, highlighting potential instability in the company's financial health.
- The fact that there is no assurance the company will regain compliance with Nasdaq's minimum bid price requirement could raise concerns among investors about its future viability on the exchange.
FAQ
What is the purpose of NewGen's reverse stock split?
The reverse stock split aims to help NewGen regain compliance with Nasdaq's $1.00 minimum bid price requirement.
When will the reverse stock split take effect?
The reverse stock split will take effect on February 11, 2025, with trading under the new arrangement starting then.
What will happen to fractional shares during the reverse stock split?
No fractional shares will be issued; shareholders entitled to fractional shares will receive one full share instead.
How did the reverse stock split affect the number of outstanding shares?
The number of outstanding Class A Ordinary Shares will decrease from approximately 27.07 million to around 1.35 million.
Who is the transfer agent for the reverse stock split?
Continental Stock Transfer & Trust Company will serve as the transfer agent for the reverse stock split implementation.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$NIVF Hedge Fund Activity
We have seen 5 institutional investors add shares of $NIVF stock to their portfolio, and 2 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- VIRTU FINANCIAL LLC removed 41,354 shares (-100.0%) from their portfolio in Q3 2024, for an estimated $28,079
- TWO SIGMA SECURITIES, LLC added 21,896 shares (+136.1%) to their portfolio in Q3 2024, for an estimated $14,867
- MINT TOWER CAPITAL MANAGEMENT B.V. added 20,000 shares (+inf%) to their portfolio in Q3 2024, for an estimated $13,580
- XTX TOPCO LTD added 14,742 shares (+inf%) to their portfolio in Q3 2024, for an estimated $10,009
- PARKWOOD LLC removed 14,427 shares (-100.0%) from their portfolio in Q3 2024, for an estimated $9,795
- UBS GROUP AG added 11,457 shares (+inf%) to their portfolio in Q3 2024, for an estimated $7,779
- NATIONAL BANK OF CANADA /FI/ added 17 shares (+inf%) to their portfolio in Q3 2024, for an estimated $11
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
BANGKOK, Jan. 31, 2025 (GLOBE NEWSWIRE) -- NewGenIvf Group Limited (NASDAQ: NIVF) (“NewGen” or the “Company”), a comprehensive fertility services provider in Asia helping couples and individuals obtain access to fertility treatments, today announced that it is implementing a reverse stock split of all of the Company's issued and unissued shares, including the Class A ordinary shares with no par value (the "Class A Ordinary Shares"), Class B ordinary shares with no par value and preferred shares with no par value, at an exchange ratio of one (1) share for twenty (20) shares (the “Reverse Stock Split”). The Reverse Stock Split was approved by the Company’s Board of Directors on January 21, 2025.
The Company’s Class A Ordinary Shares will begin trading on the Nasdaq Global Market on a post-Reverse Stock Split basis under the current ticker symbol “NIVF” at the commencement of trading on February 11, 2025, and will trade under the new CUSIP number G0544E204.
The Reverse Stock Split will reduce the number of outstanding Class A Ordinary Shares of the Company from approximately 27.07 million to approximately 1.35 million. Every twenty (20) outstanding Class A Ordinary Shares will be combined into and automatically become one post-Reverse Stock Split Class A Ordinary Share. No fractional shares will be issued in connection with the Reverse Stock Split. Instead, the Company will issue one full post-Reverse Stock Split Class A Ordinary Share to any shareholder who would have been entitled to receive a fractional share as a result of the process.
After the Reverse Stock Split, all options, warrants and other convertible securities of the Company outstanding immediately prior to the Reverse Stock Split will be adjusted by dividing the number of Class A Ordinary Shares into which the options, warrants and other convertible securities are exercisable or convertible by twenty (20) in accordance with the terms of the plans, agreements or arrangements governing such options, warrants and other convertible securities and subject to rounding to the nearest whole share.
The Company is primarily implementing the reverse stock split to enable it to regain compliance with the Nasdaq $1.00 per share minimum bid price requirement set forth in Nasdaq Listing Rule 5450(a)(1) (the “Minimum Bid Requirement”). Nasdaq previously provided the Company until April 7, 2025, to regain compliance. There can be no assurance that the Company will be able to regain compliance with the Minimum Bid Requirement.
The Company’s transfer agent, Continental Stock Transfer & Trust Company (“Continental”), will serve as the transfer agent for the Reverse Stock Split.
About NewGen
NewGen is a comprehensive fertility services provider in Asia helping couples and individuals obtain access to fertility treatments. With a mission to aid couples and individuals in building families regardless of fertility challenges, NewGen has dedicated itself to creating increased access to infertility treatment and providing comprehensive fertility services for its customers. NewGen’s management team collectively has over a decade of experience in the fertility industry. NewGen’s clinics are located in Thailand, Cambodia, and Kyrgyzstan, and present a full suite of services for its patients, including comprehensive infertility and assisted reproductive technology treatments, egg and sperm donation, and surrogacy, in the appropriate jurisdictions, respectively. To learn more, visit www.newgenivf.com . The information contained on, or accessible through, NewGen’s website is not incorporated by reference into this press release, and you should not consider it a part of this press release.
Forward-Looking Statements
This press release contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions. Without limiting the generality of the foregoing, the forward-looking statements in this press release include descriptions of the Company’s future commercial operations, business strategy, and financial condition. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, such as the Company’s inability to implement its business plans, identify and realize additional opportunities, the Company’s inability to meet or exceed its financial projections, or changes in the regulatory or competitive environment in which the Company operates. You should carefully consider the foregoing factors and the other risks and uncertainties described in the Company’s annual report on Form 20-F and other documents filed or to be filed by the Company with the SEC from time to time, which could cause actual events and results to differ materially from those contained in the forward-looking statements. Copies of these documents are available on the SEC’s website, www.sec.gov. All information provided herein is as of the date of this press release, and the Company undertakes no obligation to update any forward-looking statement, except as required under applicable law.
Investor Relations Contact
ICR, LLC
Robin Yang
Phone: +1 (212) 537-4406
Email:
[email protected]