Active Power Announces Plans for Reverse Stock Split
AUSTIN, TX -- (Marketwire) -- 11/05/12 -- Active Power (NASDAQ:
ACPW), manufacturer of UPS (uninterruptible power supply) systems and
modular infrastructure solutions, announced that its board of
directors has authorized its management to obtain the required
shareholder and other approvals and prepare and file the necessary
documents to effect a 5-for-1 reverse split of its outstanding and
authorized common and preferred stock.
The reverse stock split is subject to the approval of Active Power's
shareholders. Active Power filed a preliminary proxy statement with
the SEC today for a special meeting of shareholders at which time
such approval will be sought. The date and other details of the
special meeting will be communicated to shareholders at a later date.
Active Power currently expects to complete the reverse split by the
end of the fourth quarter of 2012.
"Our intent is to continue to trade on the NASDAQ Capital Market,"
said Doug Milner, president and CEO, at Active Power. "To that end
and after careful evaluation of our options, we have decided to
pursue a reverse stock split to regain compliance with the minimum
bid price requirement of the NASDAQ Capital Market. In addition to
sustaining our NASDAQ listing, we believe a higher share price
resulting from a reverse stock split will help broaden our
shareholder base by increasing our appeal to institutional investors
and as a result enhance long-term shareholder value."
Additional Information Regarding Proposed Transaction
anticipates a reverse stock split would raise the per share trading
price of Active Power common stock to regain compliance with the
$1.00 per share minimum bid price requirement for continued listing
on the NASDAQ Capital Market. As previously disclosed, to maintain
the listing of its common stock on the NASDAQ Capital Market, on or
before Dec. 17, 2012, Active Power's common stock must have a minimum
closing bid price of $1.00 per share for a minimum of 10 prior
consecutive trading days. There can be no assurance a reverse stock
split will have the desired effect of raising the closing bid price
of Active Power common stock to enable the company to meet this
ctive Power has filed a preliminary proxy statement with the SEC in
connection with the reverse split. This press release is not a
solicitation of shareholders or their votes on the proposed reverse
split. Active Power plans to file definitive proxy materials and
other information concerning the proposed transaction with the SEC.
Active Power urges investors to review the proxy statement and other
information filed with the SEC because it contains important
information. These documents are available without charge on the SEC
web site at www.sec.gov. A free copy of the definitive proxy
statement may also be obtained from Active Power through its investor
relations contacts. Investors should read the proxy statement
carefully before making any voting decision.
About Active Power
Founded in 1992, Active Power (NASDAQ: ACPW)
designs and manufactures continuous power solutions and critical
backup power systems that enable datacenters and other mission
critical operations to remain 'on' 24 hours a day, seven days a week.
Active Power solutions are intelligently efficient, inherently
reliable and economically green, providing environmental benefits and
energy and space efficiencies to customers' financial benefit. The
company's products and solutions are built with pride in Austin,
Texas, at a state-of-the-art, ISO 9001:2008 registered manufacturing
and test facility. Global customers are served via Austin and three
regional operations centers located in the United Kingdom, Germany,
and China, supporting the deployment of systems in more than 40
countries. For more information, visit www.activepower.com.
Cautionary Note Regarding Forward-Looking Statements
may contain forward-looking statements that involve risks and
uncertainties. Any forward-looking statements and all other
statements that may be made in this news release that are not
historical facts are subject to a number of risks and uncertainties,
and actual results may differ materially. Specific risks include
whether shareholder approval of the reverse stock split can be
obtained and the timing of such approval, the actual price of the
company's common stock following any approval of the stock split, and
the company's ability to timing comply with the listing requirements
of the NASDAQ Capital Market. Please refer to Active Power filings
with the Securities and Exchange Commission for more information on
the risk factors that could cause actual results to differ.
Active Power and CleanSource are registered trademarks of Active
Power, Inc. The Active Power logo and PowerHouse are trademarks of
Active Power, Inc. All other trademarks are the properties of their
SOURCE: Active Power, Inc.
Active Power Investor Contact:
Active Power Media Contact:
Public Relations Manager
Press spacebar to pause and continue. Press esc to stop.