Stardust Power, an American developer of battery-grade lithium products, announced a 1-for-10 reverse stock split of its common stock.
The reverse stock split aims to regain compliance with Nasdaq listing requirements and enhance shareholder value through increased access to public markets.
The Company emphasized that the split is strategic for long-term growth and aims to align share price with its operational progress.
Strategic Move for Compliance
The reverse stock split is a strategic step to regain Nasdaq compliance and strengthen credibility with institutional investors.
Future Milestones
Stardust Power plans to achieve key milestones including engineering work completion, permitting, financing, and lithium processing facility construction.
Shareholder Value Focus
The Company's focus is on creating value for shareholders through operational progress and potential value inflection points.
- The reverse stock split will combine every ten shares into one, with the number of outstanding shares reducing to approximately 8,458,975.
- This action is intended to make the Company's equity accessible to a broader range of long-only institutional investors, aligning with its funding strategy for the lithium refining project.
Stardust Power's reverse stock split reflects a strategic step towards long-term growth and maintaining market credibility. The Company's upcoming milestones are key to driving shareholder value and establishing a secure supply of battery-grade lithium in North America.