Core Viewpoint - SEGG Media Corporation has announced a 1-for-10 reverse stock split aimed at strengthening its foundation for growth and attracting institutional investors, effective August 29, 2025 [1][2]. Group 1: Strategic Objectives - The reverse stock split is part of a deliberate structural strategy to enhance institutional engagement and create long-term value for shareholders [2][3]. - The company aims to achieve three strategic growth objectives through this reverse stock split [3][11]. Group 2: Growth and Acquisitions - The reverse stock split is expected to bolster SEGG Media's capacity for strategic acquisitions, including Veloce Media Group and Nook Holdings, while accelerating operational expansion and revenue growth in the entertainment and gaming sectors [6][7]. - The company has secured commitments of $450 million from United Capital Investments London Limited and Generating Alpha Ltd to support its growth initiatives [5]. Group 3: Market Positioning - The proactive nature of the reverse stock split distinguishes SEGG Media from companies that are forced to undertake such measures to maintain their listings, reflecting a successful turnaround strategy [5]. - The company aims to enhance institutional and algorithmic access by targeting a higher sustained share price, which will attract a broader base of institutional investors and improve trading conditions [11]. Group 4: Market Structure and Manipulation Mitigation - A higher share price range is expected to strengthen market structure by engaging top-tier market makers, leading to improved liquidity and trading volumes [11]. - The reverse stock split and associated CUSIP change are intended to mitigate market manipulation risks, reinforcing the company's measures against short-selling activities [11].
SEGG Media Announces Strategic 1-for-10 Reverse Stock Split to Accelerate Company Growth
Globenewswireยท2025-08-27 15:55