Helbiz,a leading global provider of electric shared micro-mobility solutions, announced that it has filed a proxy statement with the Securities and Exchange Commission (the “SEC”) to hold a special meeting of stockholders to seek approval for a reverse stock split of the Company’s Class A common stock.
“I have always stated that the reverse split would be our last option of choice. We remain confident that we will be able to bring additional value to the Company and fulfill Nasdaq requirements through our strategic growth plan.”
The reverse stock split is intended to bring the Company into compliance with the minimum $1 bid price requirement for maintaining its continued listing on Nasdaq.
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The reverse stock split is being considered by the Company if its stock price does not appreciate beyond $1.00 by the necessary time to do so. However, the Board of Directors r***************** to delay or abandon the reverse stock split if it determines that it is no longer necessary to regain compliance for Nasdaq’s minimum bid price.
Salvatore Palella, CEO of Helbiz, said: “I have always stated that the reverse split would be our last option of choice. We remain confident that we will be able to bring additional value to the Company and fulfill Nasdaq requirements through our strategic growth plan.”
The Company also signed a new standby equity purchase agreement (SEPA) with Yorkville Advisors Global LP, allowing the Company to raise up to $20 million through sales of shares of common stock. This funding will be used primarily to follow the Company’s strategic growth plan, which will generate more revenue and support us in our path to achieving profitability.
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“The equity facility gives us flexibility and access to capital that will enable us to pursue our strategic growth plan,” said Giulio Profumo, Chief Financial Officer of Helbiz. “We are committed to making investments that create long-term value. It also gives us greater financial flexibility to cover our global vehicle capital expenditures, while strengthening our liquidity position and balance sheet. Our focus remains on continuing to prioritize profitability efforts, lowering costs and operating with greater efficiency”.
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