Herborium Group Decreases the Number of Authorized Shares, Approves the Reverse Stock Split & Decreases Company Debt by One M...
January 27 2014 - 1:00PM
Marketwired
Herborium Group Decreases the Number of Authorized Shares, Approves
the Reverse Stock Split and Decreases Company Debt by One Million
Dollars
FORT LEE, NJ--(Marketwired - Jan 27, 2014) - Herborium® Group,
Inc. (OTC Pink: HBRMD) (OTC Pink: HBRM), www.herborium.com, a
Botanical Therapeutics® Company announced today that on
January 14, 2014, the Board of Directors and shareholders owning
the majority of the voting securities of Herborium Group, Inc.
approved a decrease in the number of the Company's authorized
common shares, rolling the number back to 950,000,000 shares. The
Board and majority shareholders have also authorized a 1,000 to 1
reverse common stock split (the "Reverse Split"). In addition, a
reduction of the Company's debt by $1 million dollars was achieved
by Management's conversion of a substantial portion of their
accrued salaries, disclosed as liabilities on the balance sheet of
the Company, at a conversion rate of $0.0004 for one Common Share,
representing more than 60% premium over the current public market
price (the "Conversion Transaction"). This Conversion Transaction
expresses a high level of trust in the Company's future by
Management.
The Board of Directors believes that lowering the number of
authorized shares and the Reverse Split will result in an increase
in the market price of the common stock and may encourage more
investor interest, and improve the marketability of the common
stock via a broader range of investors and brokers, thus enhancing
liquidity. This should facilitate potential future acquisitions,
business alliances and JVs as well as further product licensing and
development opportunities. The Company will also be in a better
position to attract needed talent as these corporate actions will
facilitate the establishment of an employee and advisors stock
compensation plan. Finally, we believe that this significant
reduction of debt, combined with the Conversion Transaction, not
only improves the Company's financial profile but directly enhances
shareholder value.
The Reverse Split will become effective on January 27, 2014, and
the appropriate documents have been filed with the Secretary of
State of the State of Nevada.
The Reverse Split will affect all holders of the Company's
Common Stock uniformly and will not affect any shareholder's
percentage ownership interest in the Company. In addition, the
Reverse Split will not affect any shareholder's proportionate
voting power (subject to the treatment of fractional shares).
All pertinent information and instructions related to Reverse
Split as needed by all shareholders are published on Herborium's
Corporate website as of January 27, 2014, at
(www.herborium.com).
About Herborium Group, Inc.
Herborium Group, Inc., a Botanical Therapeutics®
company, focuses on developing, licensing, and marketing
proprietary, botanical based medicinal products to consumers and
healthcare professionals. The Company's present focus is on
dermatology, women's and men's health and energy and wellness. The
Company uses clinical validation to establish and maintain a
differential advantage, and sells its products in the US and
Europe. For more information, please visit www.herborium.com, and
www.acnease.com.
For more information please inquire: Herborium Group, Inc.
Investorsrelations@herborium.com
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