OFA Group Sets 10-for-1 Reverse Stock Split, Effective Nov. 10

OFA Group (Nasdaq: OFAL) will carry out a 10-for-1 reverse stock split of its Class A ordinary shares, effective 12:01 a.m. Eastern Time on Nov. 10, the company said in an 8-K filed Thursday, Nov. 5.

The company said the consolidation is intended to support its continued listing on the Nasdaq Capital Market. Shareholders approved the consolidation at an annual general meeting on Oct. 5, and the board approved it on Oct. 26.

What changes for holders

Every ten authorized, issued and outstanding Class A shares will be combined into one. Issued and outstanding Class A shares will fall from 9,000,910 to approximately 900,093, subject to rounding. Authorized but unissued Class A shares will be consolidated at the same ratio.

The Class A shares are expected to begin trading on a split-adjusted basis at the open on Nov. 10. The ticker stays OFAL, and the shares will carry a new CUSIP number, G6713S122.

Fractional shares and other securities

No fractional shares will be issued. Any fraction that would otherwise result will be rounded up to the nearest whole share. The filing does not describe any cash payment in lieu of fractions.

Class B ordinary shares and designated Series A Convertible Preferred Shares are not affected. Outstanding options, warrants and convertible securities, as well as shares reserved under equity incentive plans, will be adjusted proportionately.

Shareholders holding shares in book-entry form or through a bank, broker or other nominee do not need to take any action, and positions will be adjusted automatically. The filing does not give a record date.

The last close before the filing was $0.29 on Nov. 4.