Workhorse Group Announces 1-for-20 Reverse Stock Split
June 13 2024 - 8:30AM
Workhorse Group Inc. (Nasdaq: WKHS)
(“Workhorse” or “the Company”), an American technology
company focused on pioneering the transition to zero-emission
commercial vehicles, today announced that it will effect a 1-for-20
reverse stock split of its common stock, par value $0.001 per
share. The common stock will continue to be traded on Nasdaq under
the symbol “WKHS” and will begin trading on a reverse
split-adjusted basis when the market opens on June 17, 2024.
At the Company’s 2024 Annual Meeting of Stockholders on May 14,
2024, the Company’s stockholders approved the proposal to authorize
a reverse stock split of Workhorse’s common stock by a ratio of any
whole number between 1-for-10 and 1-for-20, at any time prior to
August 30, 2024, to be determined at the discretion of the Board of
Directors.
The reverse stock split is intended to increase the market price
of Workhorse’s common stock to regain compliance with the minimum
bid price requirement for continued listing on Nasdaq, but there
can be no assurance that the reverse split will have such effect.
Workhorse has until September 16, 2024 to comply with this
requirement and must see a closing bid price of its common stock of
at least $1.00 per share for a minimum of ten consecutive trading
days by this date.
As a result of the reverse stock split, every 20
shares of the Company’s common stock will automatically be combined
into one share of common stock. The reverse stock split will affect
all stockholders uniformly and will not alter any stockholder’s
percentage ownership interest in the Company’s equity, except for
immaterial adjustments that may result from the treatment of
fractional shares as described below. No fractional shares will be
issued in connection with the reverse stock split, and fractional
shares resulting from the reverse split will be rounded up to the
nearest whole share.
The reverse stock split will occur automatically on the
effective date of June 17, 2024, without any additional action on
the part of our stockholders. Empire Stock Transfer Inc. is acting
as the exchange agent for the reverse stock split and will send
stockholders a transaction statement indicating the number of
shares of common stock that stockholders hold after the reverse
stock split. Stockholders owning shares via a broker, bank, trust,
or other nominee will 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 connect with the reverse stock split.
About Workhorse Group Inc.
Workhorse is a technology company focused on providing electric
vehicles to the last-mile delivery sector. As an American original
equipment manufacturer, we design and build high performance,
battery-electric trucks. Workhorse also develops cloud-based,
real-time telematics performance monitoring systems that are fully
integrated with our vehicles and enable fleet operators to optimize
energy and route efficiency. All Workhorse vehicles are designed to
make the movement of people and goods more efficient and less
harmful to the environment. For additional information
visit workhorse.com.
Forward-Looking Statements
This press release contains certain forward-looking statements
within the meaning of federal securities laws with respect to the
Company. Forward-looking statements are predictions, projections,
and other statements about future events 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
communication, including but not limited to: our ability to cure
any deficiencies in compliance with Nasdaq’s minimum bid price
requirement or maintain compliance with other Nasdaq Listing Rules;
the ability of the reverse split to allow us to regain compliance
with Nasdaq’s minimum bid price requirement; our ability to obtain
any additional relief necessary to regain compliance from Nasdaq or
to meet applicable Nasdaq requirements for any such relief; and
risks related to the substantial costs and diversion of personnel’s
attention and resources due to these matters. While we are taking
actions to address our non-compliance with Nasdaq’s minimum bid
price requirement, there can be no assurance that we will regain
compliance. Continued non-compliance or a delisting from Nasdaq
would materially and adversely affect our ability to raise capital
and our financial condition and business. Forward-looking
statements speak only as of the date they are made. Readers are
cautioned not to put undue reliance on forward-looking statements,
and, except as required by law, the Company assumes no obligation
and does not intend to update or revise these forward-looking
statements, whether as a result of new information, future events,
or otherwise.
Media Contact:Aaron Palash / Greg KlassenJoele
Frank, Wilkinson Brimmer Katcher212-355-4449
Investor Relations Contact:Matt Glover and Tom
ColtonGateway
Group949-574-3860WKHS@gateway-grp.com
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