OptimumBank Holdings, Inc. Completes 1-for-4 Reverse Stock Split
FORT LAUDERDALE, Fla., May 31, 2013 (GLOBE NEWSWIRE) -- OptimumBank Holdings,
Inc. (Nasdaq:OPHC) announced today that it is effecting a one-for-four (1:4)
reverse split of its common stock, effective at the close of business today.
The reverse stock split, which was authorized by its Board of Directors, was
approved by the Company's shareholders on April 30, 2013 at the annual meeting
of shareholders. The Company's common stock will commence trading on June 3,
2013 on a split-adjusted basis under the symbol OPHC with a new CUSIP number
The Company has implemented the reverse stock split in order to meet the
Nasdaq listing rules that require the Company to maintain at least a $1.00 per
share minimum bid price. Reducing the number of outstanding shares of the
Company's common stock through the reverse stock split is intended to increase
the per share market price of the common stock. The Company's Board of
Directors believes that increasing the per share trading price of the common
stock will result in the price being increased above, and remaining above, the
$1.00 bid price required by the Nasdaq listing rules. However, other factors,
such as the Company's financial results, market conditions and the market
perception of its business may adversely affect the market price of the
Company's common stock. As a result, there can be no assurance that the market
price stock will increase following the reverse stock split, that the market
price will not decrease in the future, or that the Company will otherwise be
able to comply with applicable listing requirements.
In the reverse split, each four shares of issued and outstanding common stock
will be converted automatically into one share of common stock. Fractional
shares resulting from the reverse stock split will be rounded up to the next
whole share. The number of shares of the Company's common stock issued and
outstanding will be reduced from approximately 31,511,201 shares of common
stock as of May 31, 2013 to approximately 7,877,800 shares outstanding post
split. The reverse split will also have a proportionate effect on all stock
options outstanding as of May 31, 2013.
Shareholders who hold their shares in brokerage accounts or "street name" will
not be required to take any action to effect the exchange of their shares.
Shareholders of record as of May 31, 2013 who hold share certificates will
receive instructions from the Company's transfer agent, Continental Stock
Transfer and Trust Company, explaining the process for obtaining new
post-split stock certificates.
OptimumBank Holdings, Inc. is the bank holding company for OptimumBank, a
Florida chartered bank.
Any statements in this news release that are not historical facts are
forward-looking statements as defined in the Private Securities Litigation
Reform Act of 1995. Words such as "expect," "believe," "intend," "estimate,"
"project," "may" and similar expressions are intended to identify
forward-looking statements. These forward-looking statements are predicated on
management's beliefs and assumptions based on information known to Company's
management as of the date of this news release and do not purport to speak as
of any other date. Such statements reflect the view of Company's management as
of this date with respect to future events and are not guarantees of future
events, involve assumptions, and are subject to risks and uncertainties, such
as changes in the Company's plans, objectives, expectations, and intentions.
Should one or more of these risks materialize or should underlying beliefs or
assumptions prove incorrect, actual events could differ materially from those
discussed. Factors that could cause or contribute to such differences include
market conditions that may affect the results expected from the reverse stock
split. Forward-looking statements speak only as of the date they are made. The
Company does not undertake to update forward-looking statements to reflect
facts, circumstances, assumptions or events that occur after the date the
forward-looking statements are made. For any forward-looking statements made
in this news release or in any documents, the Company claims the protection of
the safe harbor for forward-looking statements contained in the Private
Securities Litigation Reform Act of 1995.
CONTACT: For more information contact:
Moishe Gubin, Chairman of the Board or
Thomas A. Procelli, Chief Operating Officer
at (954) 776-2332
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