Sapiens International NV (Nasdaq: SPNS) today announced that shareholders had approved proposals for a 1-for-5 reverse stock split to regain compliance with requirements for listing on the Nasdaq National Market.
Sapiens, which provides IT solutions to the insurance industry, said it expected its shares to begin trading at their post-split price before June 16.
Sapiens’ authorized capital of €8,300,000 was reduced to 20 million common shares from 100 million, and to one million preferred shares from five million, while the par value of all shares was changed to €2.30 instead of €0.46.
Sapiens president and CEO Itzick Sharir said, “We are moving forward with the support of our shareholders in our plan to maintain the company's National Market listing. The reverse stock split will complement other actions being taken by Sapiens to improve its sales and marketing performance and overall financial condition. The change is expected to increase visibility and coverage of our stock, coinciding with management's focus on gaining global recognition for the company's offerings to the insurance industry."
Sapiens shares closed on Nasdaq on Wednesday at $0.78, reflecting a market value of $19 million.
Published by Globes [online] - www.globes.co.il - on 12 June, 2003