Splash Beverage Group has undertaken significant organizational and financial restructuring to address ongoing market challenges and reposition the company for potential growth. The company implemented a 40-to-1 reverse stock split after its share price dropped below the New York Stock Exchange's minimum threshold, a strategic move designed to improve its market valuation and trading status.
The leadership changes include the appointment of William Devereux as Chief Financial Officer and Tom Fore as a new director. Devereux brings over 20 years of experience in corporate finance and investment management, while Fore offers extensive expertise in structured finance and corporate strategy.
The company has engaged an advisory group to explore funding opportunities and address liquidity challenges. Management remains committed to its acquisition strategy, with two potential acquisitions still under consideration. The branded beverage division is preparing to launch Chispo Tequila, which has reportedly received positive initial market feedback.
Despite current financial constraints, Splash Beverage Group maintains confidence in its underlying business momentum. The e-commerce and branded beverage divisions are positioned for potential rapid recovery, with Qplash having achieved key revenue milestones before temporary inventory funding limitations.
The reverse stock split, while not originally planned, is viewed by the company as a mechanism to reduce outstanding shares, limit stock float, and potentially support future acquisitions and share price stabilization. This strategic realignment represents a critical effort to preserve the company's operational strength during a challenging market period.
