REVERSE SPLIT - KNOW THE RULES 4NYSE Listed Company Manual, section 703.02 - Section 8.
1. The U.S. Securities and Exchange Commission, SEC, administers the rules for stock splits. HEXO has little contol over this.
2. The United States Securities and Exchange Commission, which oversees corporate stock activity, indicates that shareholder approval is not required for a reverse stock split, but companies must notify shareholders of the move on its 8-K, 10-Q and 10-K form filings.
3. Upon receipt of a non-compliance notice, an NYSE-listed company has six months to bring its share price and average closing price above $1.00. NYSE companies must notify the exchange within 10 business days of receipt of the notification of its intent to cure the deficiency. This is a done deal, the split. Focus of the meeting will be on the ratio - why 8:1? As well, we will learn whether we will given fractional shares - if the split is 8:1, and I have 33 shares, will I be rounded up to another whole share or not - get 5 not 4?
4. A company e.g. must notify FINRA of its intentions at least ten (10) days prior to the desired effective date. The split will probably not occur until January 21 given the many rules governing the split and the process.
GLTA