By Ben Glickman
Shares of Cano Health sank Thursday after the company said it planned to enact a 1-for-60 reverse stock split.
The stock was down 6.1% to 24 cents in after-hours trading, after ending almost flat at Thursday’s close. Shares are down about 81% this year.
The Miami-based healthcare technology company filed a preliminary proxy statement with the Securities and Exchange Commission about holding a shareholders meeting to vote on allowing Cano’s board to effect the reverse split.
The board would have the right to adjust the ratio down to 1-for-5 and up as high as 1-for-100.
The company said the move would allow it to regain compliance with the price criteria of the New York Stock Exchange listing rules and make the stock more attractive to investors.
The share price fell below $1 after Cano Health issued a going-concern warning in August.
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