Envoy Medical Sets 1-for-10 Reverse Split Ahead of Nasdaq Deadline

Envoy Medical Inc. will consolidate every 10 outstanding Class A common shares into one on Oct. 26, a move intended to help the company meet Nasdaq’s $1 minimum bid requirement.

The reverse split takes effect at 12:01 a.m. ET (04:01 UTC) Monday, Oct. 26. COCH is scheduled to begin split-adjusted trading at 9:30 a.m. ET (13:30 UTC) that day, with CUSIP 29415V307.

Envoy’s second 180-day compliance period runs through Nov. 16. To meet Nasdaq’s minimum bid requirement, its closing bid must reach at least $1 for 10 consecutive business days before that deadline. The company received the additional compliance period after its shares failed to meet the minimum for 30 consecutive business days; its initial compliance period ran through May 18.

Shareholders voted Oct. 12 to give the board discretion to set one or more reverse splits at a ratio ranging from 1-for-5 to 1-for-25. The measure received 44,012,206 votes in favor, 50,668 against and 1,872 abstentions. The company announced the 1-for-10 ratio on Oct. 22.

Share counts and exercise prices for warrants and other convertible securities will be adjusted proportionally. No fractional shares will be issued; holders due a fraction will receive its cash value. The split will leave the number of authorized shares and the stock’s par value as they are.