THQ Inc. (NASDAQ:THQI) announced that at the company’s Special Meeting of Stockholders on June 29, 2012, stockholders approved an amendment to THQ’s Certificate of Incorporation to effect a reverse split of its common stock and authorized its Board of Directors to determine the ratio and the effective date of the reverse stock split. Immediately following the meeting, the Board of Directors fixed the ratio for the reverse stock split at 1-for-10, 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 Monday, July 9, 2012. The company’s common stock will continue to be reported on the NASDAQ Global Select Market under the symbol “THQI,” although Nasdaq will likely add the letter “D” to the end of the trading symbol for a period of 20 trading days to indicate that the reverse stock split has occurred. THQ’s common stock will have a new CUSIP number upon the reverse stock split becoming effective. Every 10 shares of THQ’s issued and outstanding common stock as of the record date for the reverse stock split, which is expected to be July 5, 2012, will convert automatically into one issued and outstanding share of THQ common stock, subject to the elimination of fractional shares, without any change in the par value per share. The reverse stock split will reduce the number of shares outstanding from approximately 68.5 million shares to approximately 6.9 million. The reverse stock split will affect all issued and outstanding shares of common stock, as well as the shares issuable upon conversion of the company’s 5% Convertible Senior Notes, the common stock underlying stock options, warrants, restricted stock units, and other common stock-based equity grants outstanding immediately prior to the effectiveness of the reverse stock split. The number of authorized shares of the company’s common stock will not be affected by the reverse stock split.
Shares of THQ (Nasdaq:THQI) were gapping down Wednesday morning with an open price 10.3% lower than Tuesday's closing price. The stock closed at 68 cents yesterday and opened today's trading at 61 cents.
Shares of THQ (Nasdaq:THQI) were gapping down Friday morning with an open price 22.4% lower than Thursday's closing price. The stock closed at 76 cents yesterday and opened today's trading at 59 cents.