Enterasys Networks ( ETS) shareholders have approved a plan to do a 1-for-8 reverse stock split.

The reverse split will take effect at the close of trading Friday. Shareholders will receive one share of Enterasys common stock for every eight shares they currently own, and cash payments will be made in lieu of fractional shares to the extent that an individual's holdings are not evenly divisible by eight.

On Wednesday, Enterasys shares fell 2 cents to $1.24.

More from Technology

Intel CEO Brian Krzanich Steps Down: Here Are Some of His Biggest Moves

Intel CEO Brian Krzanich Steps Down: Here Are Some of His Biggest Moves

Will Porsche's Electric Car Push Take Down Tesla?

Will Porsche's Electric Car Push Take Down Tesla?

Intel CEO Out After Past Relationship With Staffer - Why Stock Is Now in Play

Intel CEO Out After Past Relationship With Staffer - Why Stock Is Now in Play

Jim Cramer on Micron: Listen to the Conference Call

Jim Cramer on Micron: Listen to the Conference Call

Jim Cramer: Disney Has Much More Staying Power Worldwide Than Netflix

Jim Cramer: Disney Has Much More Staying Power Worldwide Than Netflix