The common shares will begin trading on an allocation-adjusted basis on June 24, 2022
NEW YORK, June 23, 2022 (GLOBE NEWSWIRE) — Staffing 360 Solutions, Inc. (STAF), a company executing an international buy-integrate-build strategy through the acquisition of staffing organizations in the United States and UK, today announced that it intends to complete a reverse stock split of its ordinary shares on the basis of 1 post-split share for every 10 pre-split shares. The reverse stock split will become effective at 4:05 p.m. on Thursday, June 23, 2022. Staffing 360 common stock will continue to trade on the Nasdaq Capital Market under the symbol STAF and will begin trading on an adjusted basis. of the split when the market opens on Friday, June 24, 2022.
At a special meeting of shareholders held on June 23, 2022, the shareholders of Staffing 360 granted the Board of Directors of the Company the discretion to effect a consolidation of the common shares of Staffing 360 by way of a modification of its amended and restated certificate of incorporation at a ratio of not less than 1 to 2 and not more than 1 to 20, such ratio to be determined by the Board of Directors of the Company.
Upon the effective time of the reverse stock split, each ten issued and outstanding common shares of Staffing 360 will be automatically converted into one issued and outstanding common share without any change in par value per share. Shareholders holding shares through a brokerage account will have their shares automatically adjusted to reflect the 1 for 10 reverse stock split. existing stock certificates for new stock certificates of the Company in the share consolidation, although shareholders may do so if they wish.
The reverse stock split will affect all shareholders evenly and will not change a shareholder’s percentage interest in the equity of the Company, except to the extent that the reverse stock split would result in a shareholder owning a fractional share. Any fraction of a shareholder’s share resulting from the reverse stock split will be rounded to the nearest whole number of shares. The reverse stock split will reduce the number of outstanding Staffing 360 common shares from 17,618,300 shares to approximately 1,761,830 shares. Proportional adjustments will be made to the number of common shares of Staffing 360 issuable upon the exercise or conversion of stock awards, convertible preferred shares and warrants of Staffing 360, as well as to the price exercise applicable. Shareholders holding shares in brokerage accounts should direct any questions regarding the share consolidation to their broker; all other shareholders may direct their questions to the company’s transfer agent, Action Stock Transfer Corporation, by e-mail at [email protected] or by fax at +1 (801) 274-1099.
Brendan Flood, Chief Executive Officer and President, said, “We are proceeding with this stock split to increase Staffing 360’s common stock price to restore compliance with the minimum bid maintenance requirement. of $1.00 per Nasdaq Capital Market share. We believe that trading our shares on a national market increases our market visibility, improves liquidity, broadens and diversifies our shareholder base, and ultimately enhances long-term shareholder value.
About Staffing 360 Solutions, Inc.
Staffing 360 Solutions, Inc. is committed to executing an international buy-integrate-build strategy through the acquisition of domestic and international staffing organizations in the United States and United Kingdom. The Company believes that the recruiting industry offers accretive acquisition opportunities and, as part of its focused consolidation model, pursues acquisition objectives in the areas of finance and accounting, administration, engineering, computing and light industry. For more information, visit http://www.staffing360solutions.com. Follow Staffing 360 Solutions on Facebook, LinkedIn and Twitter.
This press release contains forward-looking statements, which can be identified by words such as “expect”, “look forward to”, “anticipate”, “intend”, “plan”, “believe”. , “seek”, “estimate”, “will”, “plan” or words of similar meaning. Forward-looking statements are not guarantees of future performance, are based on certain assumptions and are subject to various known and unknown risks and uncertainties, many of which are beyond the control of the Company and cannot be predicted or quantified; therefore, actual results may differ materially from those expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to, the effect the reverse stock split may have on the price of our common stock; our ability to maintain our listing on the Nasdaq Capital Market; market and other conditions; the geographic, social and economic impact of COVID-19 on the Company’s ability to conduct business and raise capital in the future if needed; weak general economic conditions and levels of capital expenditures by customers in the industries served by the Company; weakness or volatility in financial and capital markets, which may result in the postponement or cancellation of clients’ investment projects or the inability of the Company’s clients to pay the Company’s fees; termination of a material customer contract or project; delays or reductions in US government spending; credit risks associated with the Company’s customers; competitive market pressures; the availability and cost of skilled labor; the Company’s degree of success in attracting, developing and retaining qualified management and other employees; changes in tax laws and other governmental regulations, including the impact of laws and regulations on health care reform; the possibility of incurring liability for the business activities of the Company, including, but not limited to, the activities of temporary employees of the Company; the Company’s performance on customer contracts; the negative outcome of pending and future claims and litigation; government policies, legislation or court rulings adverse to the Company’s business; the Company’s ability to access capital markets by seeking additional debt and equity financing to fund its business plan and expenses on terms acceptable to the Company or not at all; and the ability of the Company to meet its contractual commitments, including with respect to its debt agreements, as well as various additional risks, many of which are now unknown and generally beyond the control of the Company, and which are detailed from time to time. other in reports filed by the Company with the SEC, including quarterly reports on Form 10-Q, reports on Form 8-K and annual reports on Form 10-K. Staffing 360 Solutions assumes no obligation to update any statements contained herein (including forward-looking statements), except as required by law.
Contact with Investor Relations:
Terri MacInnis, Vice President of IR
Bibicoff + MacInnis, Inc.
(818) 379-8500 ext. 2