Healthcare Triangle stockholders approve reverse split and other proposals at special meeting
Healthcare Triangle stockholders approve reverse split and other proposals at special meeting
Healthcare Triangle, Inc. (NASDAQ:HCTI) stockholders approved several proposals at a virtual special meeting held Friday, according to a statement based on a recent SEC filing. The approvals come as the stock trades at $0.34, near its 52-week low of $0.33, with shares down 99% year-to-date and a market capitalization of just $5.67 million. According to InvestingPro analysis, which offers 13 additional exclusive tips for HCTI, the company is quickly burning through cash with a weak overall financial health score.
Stockholders authorized amendments to the company’s Amended and Restated Certificate of Incorporation to enable one or more reverse splits of issued and outstanding common stock, at a ratio between one-for-two (1:2) and one-for-twenty-five (1:25). The exact ratio will be determined by the Board of Directors, with the aggregate ratio not to exceed 1:25. The proposal received 20,163,583 votes in favor, 93,410 against, and 33 abstentions, with no broker non-votes.
A second proposal, allowing for any 20% issuance of shares below the minimum price as defined by Nasdaq Listing Rule 5635(d) and within Nasdaq parameters, also passed. The voting results were 20,123,343 in favor, 132,881 against, 800 abstentions, and 2 broker non-votes.
Stockholders additionally approved an amendment to the company’s 2020 Stock Incentive Plan to remove adjustments for reverse stock splits. This proposal received 20,105,936 votes in favor, 150,521 against, and 569 abstentions.
Finally, stockholders authorized adjournment of the special meeting if necessary to solicit additional proxies, with 20,121,858 votes in favor, 133,562 against, 1,605 abstentions, and 1 broker non-vote.
The company reported that 20,257,026 shares, representing approximately 53.69% of the 37,730,008 shares entitled to vote, were present virtually or by proxy at the meeting. The shares included both common stock and Series A Super Voting Preferred Stock.
These outcomes were disclosed in a press release statement and detailed in the company’s recent SEC filing.