Rubico Inc. (NASDAQ:RUBI) shares fell in after-hours trading on Tuesday after the company announced a 1-for-25 reverse stock split aimed at maintaining compliance with Nasdaq listing requirements.
RUBI closed Tuesday’s regular session at $0.39, down 4.59%. In after-hours trading, shares fell to $0.33, down 14.40%.
Rubico is a shipping company that owns and operates tanker vessels used for transporting oil and chemical products.
Reverse Stock Split Pressures Shares
Rubico said its board approved a 1-for-25 reverse stock split of its common shares, effective at the opening of trading on Friday.
Following the reverse split, every 25 outstanding common shares will automatically be converted into one common share. The company’s shares will continue trading on Nasdaq under the ticker symbol RUBI.
The reverse split will reduce Rubico’s outstanding shares from approximately 15.13 million to about 605,040 shares, subject to adjustments for fractional share cancellations.
The company said no fractional shares will be issued. Shareholders entitled to fractional shares will instead receive cash based on the closing share price on Thursday.
Rubico said the reverse split is intended to increase its stock price and help the company maintain compliance with Nasdaq’s continued listing requirements.
Trading Metrics, Technical Analysis
Rubico has a market capitalization of approximately $1.28 million.
The stock has traded between a 52-week high of $14,274.00 and a 52-week low of $0.36.
Over the past 12 months, RUBI shares have declined approximately 100%.
Benzinga Edge Stock Rankings indicate negative short-term, medium-term and long-term price trends.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo Courtesy: Kumotion on Shutterstock.com
Login to comment