Globus Maritime, a dry bulk shipping company, announced that its Board of Directors has determined to effect a 1-for-100 reverse stock split of the Company’s common shares and Series B preferred shares. At the Company’s annual general meeting of shareholders on September 24, 2020, the Company’s shareholders approved the reverse stock split and granted the Board the authority to determine the exact reverse split ratio and proceed with the reverse stock split.
The reverse stock split will take effect, and the Company’s common stock will begin trading on a split-adjusted basis on the Nasdaq Capital Market, as of the opening of trading on October 21, 2020 under the existing trading symbol “GLBS.” The new CUSIP number for the common stock following the reverse stock split is Y27265 126.
When the reverse stock split becomes effective, every 100 shares of the Company’s issued and outstanding common stock and Series B preferred shares will be automatically combined into one issued and outstanding share of common stock or Series B preferred share, as applicable, with no adjustment in par value or the number of authorized shares of any class or series of stock. This will reduce the number of outstanding common shares from 175,675,651 to approximately 1,756,756 shares (subject to further adjustment based on fractional shares) and the number of Series B preferred shares from 30,000 to 300.
No fractional shares will be issued in connection with the reverse split of the issued and outstanding common stock. Shareholders who would otherwise hold a fractional share of the Company’s common stock will receive a cash payment in lieu thereof at a price equal to that fraction to which the shareholder would otherwise be entitled multiplied by the closing price of the Company’s common stock on the Nasdaq Capital Market on October 20, 2020. No fractional shares shall be issued for the Series B preferred shares because the reverse stock split will not result in any fractional shares for that series.
Shareholders with shares held in book entry form or through a bank, broker, or other nominee are not required to take any action and will see the impact of the reverse stock split reflected in their accounts on or after October 21, 2020. Such beneficial holders may contact their bank, broker or nominee for more information.
Shareholders with shares held in certificated form, if any, will receive explicit instructions from the Company’s transfer agent, Computershare, for exchanging their stock certificates for new shares of common stock resulting from the reverse split.