Lime Energy Co. (NASDAQ: LIME), a leading provider of energy efficiency for small businesses, announced today that it has filed a Certificate of Amendment to its Restated Certificate of Incorporation (the "Certificate of Amendment"), with the Secretary of State of the State of Delaware, to effect a 1-for-7 reverse stock split of the its common stock (the "Reverse Stock Split"). The Certificate of Amendment will become effective at 5:00 p.m. EDT on October 10, 2013.
As a result of the Reverse Stock Split, every seven shares of the Company's pre-Reverse Stock Split common stock will be combined and reclassified into one share of its common stock. Beginning with the opening of trading on October 11, 2013, the Company's common stock will trade on the NASDAQ Capital Market on a Reverse Stock Split adjusted basis with a new CUSIP number of 53261U304.
No fractional shares will be issued in connection with the Reverse Stock Split. In accordance with the Certificate of Amendment, Lime stockholders who would have otherwise been due a fractional share will receive a full share. Proportional adjustments will be made to the Company's outstanding warrants, stock options and other equity awards and to the Company's equity compensation plans to reflect the Reverse Stock Split.
Stockholders who hold their shares in brokerage accounts or “street name” will not be required to take any action to effect the exchange of their shares. Stockholders of record who hold physical certificates will receive a transmittal letter from the Company’s transfer agent requesting that they surrender their old stock certificates for new stock certificates reflecting the adjusted number of shares resulting from the reverse stock split. Stockholders of record who hold their shares in book-entry form will receive a notice from the Company’s transfer agent informing them that the number of shares they hold has been adjusted on the transfer agent’s books and that they do not need to take any further action to adjust the number of shares held in their name.