Youngevity Announces Reverse Stock Split; Prepares for NASDAQ Listing0
Youngevity International, the Chula Vista, Calif.-based omni-direct lifestyle company, has filed a Certificate of Amendment to its Certificate of Incorporation to implement a 1 for 20 reverse stock split of the company’s authorized, issued and outstanding common stock in preparation for its proposed listing of its common stock on the NASDAQ Capital Market.
The reverse split—which was approved by the company’s stockholders on February 23, 2017, followed by a unanimous vote by the Board of Directors—will become effective with the Financial Industry Regulatory Industry (FINRA), and in the marketplace today, June 7, whereupon the shares will begin trading on a split adjusted basis under the symbol “YGYID,” with a “D” to be added for 20 trading days to signify that the reverse split has occurred. After that time, the company’s ticker symbol will once again be “YGYI.” Youngevity’s transfer agent, Fidelity Transfer, will act as exchange agent for the reverse split. Youngevity stockholders will receive forms and notices to exchange their existing shares for new shares from the exchange agent or their brokers.
If approved, the NASDAQ listing is expected to facilitate greater liquidity in the stock as well as enable broader market access to the investment community as many participants have been unable to purchase stock listed on the OTCQX, where Youngevity is currently listed. The company believes it will meet the requirements for listing its common stock on the NASDAQ Capital Market; however, before any listing of the common stock on the NASDAQ Capital Market could occur, NASDAQ will need to approve Youngevity’s application for listing after the reverse stock split is completed. There can be no assurance that the company’s application will be approved.
“Over the years our philosophy was to build the business of Youngevity, and the value built would be reflected by our share price,” said Steve Wallach, Co-Founder and CEO of Youngevity. “The NASDAQ up-listing is expected to advance that opportunity by positioning Youngevity with a much wider spectrum of investors. Potential investors who were unable to consider participation in an investment in Youngevity will now have the opportunity to do so. We strongly believe that up-listing to the NASDAQ truly creates an opportunity that, up until now, has not been available for many.”
Youngevity President and CFO Dave Briskie added, “It has always been our vision to list Youngevity on a major exchange. We are extremely gratified to execute this reverse split in anticipation of an exciting transition to the NASDAQ Capital Markets Exchange. We believe that listing on the NASDAQ is pivotal for attracting a larger and more diverse shareholder base going forward. At this time, we would also like to express our gratitude to current shareholders who have exhibited loyalty and patience as Youngevity has undertaken this process.”