CDTi Advanced Materials, a provider of advanced emission control technology, has announced the expected effective date of its 1-for-5 reverse stock split. Stockholders granted the CDTi board of directors discretionary authority to effect the reverse split at the company’s annual meeting of stockholders held on Aug. 24.
The reverse split was expected to be effective after the close of trading on NASDAQ on Friday, Sept. 21, and for the common stock to continue trading on NASDAQ under the trading symbol “CDTI” under new CUSIP number 12514V204 on a split-adjusted basis commencing at the open of trading today, Sept. 24. The reverse split will reduce the number of outstanding shares of CDTi common stock from approximately 20 million shares to approximately 4 million shares. As a result, the trading price of CDTi common stock is expected to proportionately increase immediately following the effective date.
The company says it will not issue any fractional shares resulting from the reverse split. Instead, any stockholder who would otherwise be entitled to less than one full share of CDTi common stock will receive a cash payment for such fractional share at a rate equal to the average of the closing prices per share of CDTi common stock on NASDAQ over the five trading days immediately preceding the effective date.
Additional information on the reverse stock split can be found on the company’s website at cdti.com.
