SAExploration Resorts To 135-to-1 Reverse Stock Split

SAExploration Holdings, Inc.

revealed that it resorted to a 135-to-1 reverse split of its issued, as well as, outstanding common stock. The company indicated that its common stock would commence trading on a split-adjusted basis on July 27 when the market opens. SAExploration said that the stock split move affects all issued and outstanding shares of its common stock. The company stated that its stockholders have also granted authority to its Board to effect the reverse stock split through a written consent of June 15. The company stated that following the reverse stock split, every 135 shares of issued and outstanding common stock was automatically converted into 1 share of common stock. As far as fractional shares were concerned, it clarified that it could be cashed out based on the closing price per share on the effective date of the reverse stock split. SAExploration said that the move would not alter any stockholder's percentage of ownership or voting power. However, there could be minimum impact due to the treatment of fractional shares. As a result, the number of outstanding shares stands reduced by a factor of 135. On Tuesday, the stock dropped 9.6 percent following the news.