BRAVADA International Announces a Share Cancellation and a 1 for 50 Reverse Stock Split
BRAVADA International Ltd (https://www.Bravada.com) (Pink Sheets: BRAV) announced today that a majority of the Company's Stockholders and the Board of Directors has approved a 1-for-50 reverse stock split in the shares of the Company. The reverse split is expected to become effective on March 31, 2021. As such, if the reverse stock split is completed, the Company's shareholders will receive one (1) new share for every fifty (50) shares of BRAVADA International Ltd common stock held prior to the effective date. Each fraction of a share that any shareholder would otherwise be entitled to receive as a result of the reverse stock split will be rounded up to the nearest whole share.
The Company's Preferred B, C and D shares automatically convert with this corporate action. Since 2008, the Company's CEO, Danny Alex, has accepted the majority of his salary be paid to him in shares of the Company as well as capital he has invested. On a post-split basis, the total issuance of the Preferred shares results in 46,800,000 common shares, however, Mr. Alex has offered to return half of his common shares issued in the Preferred conversion, 23,400,000 common shares, to treasury and cancelled. Mr. Alex is under no obligation to cancel 50% of the shares he receives from the conversion as he accepted shares of the Company for the majority of his salary with no guarantee of ever realizing a return and for no other reason that he believed in his ability to develop and grow BRAVADA International into a valuable company. Mr. Alex was concerned that accepting the full conversion of his Preferred Shares would upset the integrity of the share structure and dilute existing shareholders to an extent that he was not comfortable with as many shareholders have been invested in the Company for many years.
The Company is undertaking a reverse split so that it may begin a process of maximizing its ability to up-list to a senior exchange sometime in the future. There is no guarantee that the Company will be successful in a future up listing, however, reducing the number of common shares shall increase the share price of the Company's common stock and streamline the Company's share structure. After the split is concluded the Company will have approximately 37,491,133 common shares outstanding.
The 1-for-50 reverse stock split will be effective as of the close of business on March 30, 2021, and the Company's common stock should begin trading on a split-adjusted basis on March 31, 2021. The Company shall provide additional information if these dates change. A "D" will be placed on the ticker symbol for 20 business days when the reverse split is completed. After 20 business days, the symbol will then change back to BRAV. Madison Stock Transfer is the transfer agent responsible for processing this corporate action.
Additional information regarding the Preferred B, C and D shares can be found on any of the Company's disclosure statements dating back to the 2011 Annual Report and on.
About:
BRAVADA International is an internet and media company that owns and curates' online properties through a proprietary methodology of creating, developing and operating retail and wholesale websites that provide an exciting blend of consumer level and B2B products and services.
Forward-looking Statements
Certain matters discussed in this announcement contain statements, estimates and projections about the growth of BRAVADA International's business, corporate growth, and related business strategy. Such statements may constitute forward-looking statements within the meaning of the federal securities laws. Factors or events that could cause actual results to differ may emerge from time-to-time. BRAVADA International undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The recipient of this information is cautioned not to place undue reliance on forward-looking statements.
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