SAN DIEGO - Nuvve Holding Corp. (Nasdaq: NVVE), a technology company specializing in vehicle-to-grid (V2G) platforms, has announced a 1-for-10 reverse stock split scheduled to take effect after market close on Monday, September 16, 2024. The company's common stock will trade on a split-adjusted basis from the opening of markets on Tuesday, September 17, 2024.
The reverse stock split was approved by Nuvve's stockholders at a special meeting on September 9, 2024, and subsequently by the company's Board of Directors on September 10, 2024. This move aims to bring the company back into compliance with the Nasdaq Capital Market's minimum bid price requirement. Following the split, the number of Nuvve's outstanding common shares will decrease from approximately 6.5 million to about 0.7 million, while the par value will remain unchanged at $0.0001 per share.
The company's common stock will continue to be listed on the Nasdaq Capital Market under the ticker "NVVE" and will be assigned a new CUSIP number, 67079Y308. However, the CUSIP number for the publicly traded warrants will remain the same. Proportional adjustments will be made to Nuvve's outstanding stock options, restricted stock units, and warrants, as well as to the shares issuable under the company's equity incentive plans.
No fractional shares will be issued in connection with the reverse stock split. Shareholders who would otherwise hold a fractional share will receive a rounding up to the nearest whole share. Nuvve's transfer agent, Continental Stock Transfer & Trust Company, will provide stockholders with information about their stock ownership post-split. Shareholders with shares in book-entry form or held through a bank, broker, or nominee will not need to take any action, as their accounts will automatically reflect the stock split.
Nuvve, founded in 2010 and headquartered in San Diego, California, focuses on the electrification of transportation through V2G technology, which allows EV batteries to store and redistribute electricity, thereby supporting the energy grid and promoting clean energy adoption.
This article is based on a press release statement from Nuvve Holding Corp.
InvestingPro Insights
As Nuvve Holding Corp. (Nasdaq: NVVE) prepares for its reverse stock split, investors may be assessing the company's financial health and market position. According to InvestingPro data, Nuvve's market capitalization stands at a modest $2.72 million. This small cap status reflects the niche market that Nuvve operates within, focusing on vehicle-to-grid (V2G) technology. Despite the innovative nature of its business, the company's Price to Earnings (P/E) ratio is currently negative at -0.05, indicating that it is not generating net income at present.
InvestingPro Tips suggest that Nuvve operates with a significant debt burden and is quickly burning through cash, which could be concerning for investors looking for stable financials. Moreover, the company's stock price has been quite volatile, which can be attributed to the speculative nature of the green technology sector and investor sentiment around the future of V2G systems.
On a more positive note, analysts anticipate sales growth in the current year, which may provide some optimism for the company's ability to scale its operations and improve its financial standing. However, it's worth noting that analysts do not anticipate the company will be profitable this year, and the stock has fared poorly over the last month, with significant price declines observed over longer timeframes as well.
For those interested in a deeper analysis, there are additional InvestingPro Tips available on the InvestingPro platform, which provide further guidance on Nuvve's stock performance and potential investment risks and opportunities.
Overall, as Nuvve continues to innovate in the clean energy space, investors should closely monitor these financial metrics and market insights to make informed decisions. The company's upcoming reverse stock split could be a strategic move to align with market compliance and attract investor interest, but the broader financial context provided by InvestingPro is crucial for a comprehensive understanding of Nuvve's market position.
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