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March 21, 2013 /PRNewswire/ -- UTStarcom Holdings Corp. ("
UTStarcom" or the "
Company") (NASDAQ: UTSI), a leading provider of media operational support services and broadband equipment products and services, today announced the official results of its extraordinary meeting of shareholders, held on
March 21, 2013 at
1:00 p.m. local time in
Beijing, China. The shareholders cast their votes as described below:
1. The shareholders approved, effective as of
4:30 p.m. Eastern Standard Time on
March 21, 2013, as an ordinary resolution, in accordance with Article 49 of the Company's Amended and Restated Memorandum and Articles of Association, that
the authorized share capital of the Company be amended by the consolidation of the existing 750,000,000 Ordinary Shares of
US$0.00125 par value each into 250,000,000 Ordinary Shares of
US$0.00375 par value each, such that:
(i) the authorized share capital of the Company is amended to
US$943,750 divided into 250,000,000 Ordinary Shares of a par value of
US$0.00375 each and 5,000,000 Preference Shares of a par value of
(ii) each existing issued 3 Ordinary Shares of
US$0.00125 par value each be consolidated into 1 Ordinary Share of
US$0.00375 par value each and the register of members of the Company be updated accordingly; and
(iii) any fractions of a share that result from the consolidation described above be automatically repurchased by the Company at the Market Price (as defined in the Company's Amended and Restated Articles of Association) of such fractions on the date of this Extraordinary Meeting.
2. The shareholders approved, effective as of
4:30 p.m. Eastern Standard Time on
March 21, 2013, as a special resolution, that
the Amended and Restated Memorandum and Articles of Association of the Company currently in effect be amended and restated by their deletion in their entirety and the substitution in their place of the Amended and Restated Memorandum and Articles of Association attached to the proxy statement previously distributed to shareholders.
March 15, 2013, the Company received a formal notice from NASDAQ that it was not in compliance with the listing requirements due to the Company's Ordinary Shares closing below the
$1.00 per share minimum bid price for 30 consecutive business days. The Company has 180 days to regain compliance with the listing standards. To regain compliance, the closing bid price of the Company's Ordinary Shares must be at least
$1.00 per share for a minimum of ten consecutive business days during the stated 180-day period.
As a result of the meeting, the one-for-three reverse split of the Company's Ordinary Shares shall become effective as of
4:30 p.m. Eastern Standard time on
March 21, 2013, with trading currently expected to commence on the post-reverse split-adjusted basis on the NASDAQ Global Select Market as of the opening of trading on
Friday, March 22, 2013.
The Company's Ordinary Shares will continue to be reported on the NASDAQ Global Select Market under the symbol "UTSI," although NASDAQ will add the letter "D" to the end of the trading symbol for a period of 20 trading days to indicate that the reverse share split has occurred. The Company's Ordinary Shares will have a new CUSIP number upon the effectiveness of the reverse share split.