Atlanta, GA, Jan. 03, 2025 (GLOBE NEWSWIRE) -- Gareth N. Genner, CEO of Trust Stamp, announced, "As our shareholders and observers know, our reverse split will be effective for trading on January 6, 2025. The reverse split process was formally started on September 20, 2024, with notice to Nasdaq. On November 4, 2024, Nasdaq officially extended our time to comply with the $1 closing bid rule based on that plan.
On November 18, 2024, 96% of the shareholders attending our EGM in person or by proxy voted in favor of the reverse split, giving our board of directors until December 31, 2024, to determine the reverse split ratio and begin the procedures for the reverse split.
As such, the required notice to Nasdaq for the split was submitted on December 27, 2024. Coincidentally, this was the 1st day of the rapid three-day increase in stock price, which led to the stock closing at $1.20 on December 30, 2024, before falling back. We note that regaining compliance requires ten consecutive trading days closing above $1 bid, and while we have seen numerous price spikes, they have typically (as in this case) retrenched in two to three days.
I have received messages and calls frustrated that the reverse split announcement stalled the stock price momentum. The regrettable fact is that the price peaked on December 30, 2024, and declined each day thereafter, although the reverse split announcement was not made until January 2, 2025.
As I mentioned in the press release on January 2, 2025, our board of directors decided upon the split ratio not only to ensure Nasdaq compliance but also in the hope of resetting the stock price at a level that would not be defined as a "penny stock" and would potentially be eligible for investment by a broader range of family offices and investment institutions. I firmly believe that the decision is in the long-term interests of the Company's shareholders.
Ahead of our AGM scheduled for January 29, 2025, we will release an update explaining the work already done to position the Company for 2025. At our AGM, I will detail the partnerships and initiatives in place and progress for 2025. We believe the Company has tremendous opportunities as the global market grapples with the impact of quantum computing, deepfakes, cybersecurity breaches, ransomware attacks, national security considerations, and other challenges that Trust Stamp is positioned to address. I encourage all of our shareholders to attend the AGM and learn about our plans for the year ahead."
About Trust Stamp
Trust Stamp, the Privacy-First Identity Company, is a global provider of AI-powered software and data transformation services for use in multiple sectors, including banking and finance, regulatory compliance, government, real estate, communications, and humanitarian services. Trust Stamp is located across North America, Europe, Asia, and Africa and trades on the Nasdaq Capital Market (Nasdaq: IDAI).
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Trust Stamp Email: Shareholders@truststamp.ai
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All statements in this release that are not based on historical fact are "forward-looking statements," including within the meaning of the Private Securities Litigation Reform Act of 1995 and the provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The information in this announcement may contain forward-looking statements and information related to, among other things, the company, its business plan and strategy, and its industry. These statements reflect management's current views with respect to future events-based information currently available and are subject to risks and uncertainties that could cause the company's actual results to differ materially from those contained in the forward-looking statements. Investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date on which they are made. The company does not undertake any obligation to revise or update these forward-looking statements to reflect events or circumstances after such date or to reflect the occurrence of unanticipated events.
