Exhibit 99.1
Surgalign Holdings, Inc. Announces 1-for-30 Reverse Stock Split
DEERFIELD, Ill., May 16, 2022 – Surgalign Holdings, Inc., (NASDAQ: SRGA) a global medical technology company focused on elevating the standard of care by driving the evolution of digital health, today announced that at its Annual Meeting of Stockholders (“Annual Meeting”) on May 10, 2022, the stockholders of the Company approved a reverse stock split of the Company’s issued and outstanding shares of its common stock and authorized the Board to select the ratio of the reverse stock split.
The Board of Directors has since exercised such discretion to effect a 1-for-30 reverse stock split which will take effect at the open of trading on the Nasdaq Global Select Market on Tuesday, May 17, 2022. The Company’s common stock will open for trading under a new CUSIP on the Nasdaq Global Select Market, on a split-adjusted basis under the current ticker symbol “SRGA.” The reverse stock split is intended to increase the per share trading price of the Company’s common stock to enable the Company to regain compliance with the minimum bid price requirement for continued listing on the Nasdaq Global Select Market.
The 1-for-30 reverse stock split will automatically convert 30 current shares of the Company’s common stock into one share of common stock. No fractional shares will be issued in connection with the reverse stock split. Stockholders who would otherwise hold a fractional share of the Company’s common stock will receive a cash payment in lieu thereof at a price equal to that fraction to which the stockholder would otherwise be entitled multiplied by the closing trading price of the common stock on the Nasdaq Global Select Market on Monday, May 16, 2022, and rounded down to the nearest whole cent.
Proportional adjustments also will be made to the exercise and conversion prices of the Company’s outstanding stock options, restricted stock units, warrants and convertible notes, and to the number of shares issued and issuable under the Company’s stock incentive plans.
Stockholders holding their shares electronically in book-entry form are not required to take any action to receive post-split shares. Stockholders owning shares through a bank, broker or other nominee will have their positions automatically adjusted to reflect the reverse stock split, subject to brokers’ particular processes, and will not be required to take any action in connection with the reverse stock split. For those stockholders holding physical stock certificates, the Company’s transfer agent, Broadridge, will send instructions for exchanging those certificates for shares held electronically in book-entry form or for new certificates, in either case representing the post-split number of shares, and any payments in cash in lieu of fractional shares, if applicable.
