Suominen merges shares in reverse split

The reverse share split reduced the total number of shares held by the company (from 252,425,616 to 51,216,232) without affecting the share capital (€11,860,056.00).

The procedure was carried out in accordance with the Chapter 15, Section 9 of the Limited Liability Companies Act (624/2005).

The new number of shares were registered with the Trade Register on March 22, 2016, and its trading began the same day.

Commenting on the reverse share split, Nina Kopola, president & CEO of the company said, “During the reporting period, Suominen’s Annual General Meeting decided to merge Suominen’s shares in a reverse share split using a split ratio of 5 to 1.”

“The Annual General Meeting also decided that a dividend of €0.02 per share (prior to the reverse share split) was to be paid for the financial year 2015, which means that shareholders were distributed double the amount of funds compared to the previous financial year,” she added.

The reverse split did not have an impact on the treasury shares held by Suominen (913,886 shares). In accordance with the Limited Liability Companies Act, treasury shares do not entitle to shareholder rights, such as right to receive dividend or other distribution of funds or right to attend General Meeting.

The terms and conditions of the share-based incentive plans have also been technically adjusted, due to reverse share split carried out in the review period. (MCJ)

Fibre2Fashion News Desk - India