Nightfood Holdings Inc. (OTCQB: NGTF) issued a letter to shareholders on [date not specified] clarifying its recently filed Preliminary Schedule 14C Information Statement, which concerns authorization for a potential reverse stock split. The company's board of directors and majority stockholder have approved authorization for the board to effect a reverse split within a range of 1-for-150 to 1-for-250, in connection with a potential listing on a national securities exchange.
The authorization grants the board discretion to determine whether and when to implement a reverse split and to select a specific ratio based on market conditions and the company's trading price at that time. Nightfood emphasized that the authorization does not mean a reverse split will necessarily occur, and the board may abandon the action altogether. The clarification aims to address any shareholder concerns regarding the potential corporate action.
Nightfood Holdings, doing business as TechForce Robotics, focuses on AI-driven robotics, enterprise automation, hospitality automation, pharmaceutical automation, and advanced-technology commercialization. Through strategic acquisitions, partnerships, and technology-development initiatives, the company is building a diversified automation platform serving multiple high-growth industries.
The announcement is significant for shareholders and potential investors as a reverse stock split could impact the stock's liquidity and price per share. A reverse split reduces the number of outstanding shares, potentially increasing the share price to meet listing requirements for a national exchange. However, the board's discretion means the outcome remains uncertain, and the company may pursue other strategies to achieve a listing.
For more details, the full press release is available at https://ibn.fm/DXOVA. The latest news and updates regarding NGTF can be found in the company's newsroom at http://ibn.fm/NGTF.
