Active Power Shareholders Approve Reverse Stock Split
Company Seeks to Regain Compliance With NASDAQ Listing Requirements
AUSTIN, TX -- (Marketwire) -- 12/19/12 -- Active Power (NASDAQ:
ACPW), manufacturer of UPS (uninterruptible power supply) systems and
modular infrastructure solutions, announced its shareholders have
approved a 5-for-1 reverse stock split of the company's outstanding
and authorized common and preferred stock at a special shareholders
meeting held on Monday, Dec. 17, 2012.
The company expects the reverse stock split will take effect before
the end of December 2012. The principal purpose of the reverse split
was to bring Active Power into compliance with NASDAQ's minimum bid
"We believe the effect of the reverse stock split will enable Active
Power to regain compliance with the minimum bid price rule in
mid-January 2013," said Steve Fife, CFO, at Active Power. "We
continue to focus on the go forward strategy we laid out last
quarter, which is built on a foundation to achieve consistent
profitability. We believe this in turn will create shareholder
Information Regarding Delisting Determination Letter and Reverse
As previously reported on June 20, 2012, Active Power
was granted until Dec. 17, 2012, to meet the minimum $1.00 bid price
per share requirement pursuant to NASDAQ's minimum bid price rule for
continued inclusion on The NASDAQ Capital Market. Since the Company
was unable to regain compliance within the 180-day period, on Dec.
18, 2012, the Company received a delisting determination letter from
NASDAQ stating that the Company was not in compliance with Listing
Rule 5550(a)(2) and that the Company's stock would be suspended from
trading. However, as permitted by the NASDAQ rules, Active Power will
file an appeal with NASDAQ by requesting a hearing with the NASDAQ
Listing Panel. As indicated by NASDAQ, the delisting action will be
stayed until the Company has completed the hearing and the Hearing
Panel has issued its decision.
The Company anticipates that once the reverse stock split is
effective, the 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. However, 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
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 the
actual price of the company's common stock following the
effectiveness of the reverse stock split and the company's ability to
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
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