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Genius Group announces reverse stock split to meet NYSE requirements

Published 08/15/2024, 04:57 PM
GNS
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SINGAPORE - Genius Group Limited (NYSE American: GNS), an education company specializing in AI-powered solutions, has declared a reverse stock split at a 1-for-10 ratio, effective August 16, 2024. This strategic move consolidates every ten shares of issued and outstanding ordinary shares into one share. The initiative aims to elevate the per share market price of Genius Group's ordinary shares, thereby complying with the NYSE American's minimum price standards for continued listing.

The company's common stock will continue trading on the NYSE American under the ticker 'GNS' but with a new CUSIP number (Y3005A117) starting on Friday, August 16, 2024. The reverse stock split received approval from stockholders during the extraordinary general meeting held on February 16, 2023, and was later sanctioned by the Board of Directors on August 5, 2024.

In accordance with the reverse stock split, adjustments will be made to the exercise prices and the number of shares underlying the company's outstanding equity awards and equity incentive plans. The issued ordinary shares post-split will remain fully paid and non-assessable, and the authorized number of ordinary shares or their par value will not be affected. No fractional shares will be issued; any fractional entitlements will be rounded down and returned to the treasury.

Stockholders with shares in electronic, book-entry form, or held through a bank, broker, or nominee will see their holdings automatically adjusted to reflect the reverse stock split and need not take any action. The terms of outstanding warrants and equity-based awards will be proportionately adjusted to align with the reverse stock split terms.

Genius Group serves a global user base with its AI-driven educational and acceleration solutions, catering to over 5.4 million users across more than 100 countries. The company's offerings include a digital marketplace featuring AI training, tools, and talent, designed to foster personalized, entrepreneurial pathways that combine human talent with AI skills.

This news is based on a press release statement and reflects the company's efforts to maintain its listing status and comply with market regulations.

In other recent news, Genius Group Limited has reported significant developments in its operations and financial strategy. The company announced an approval for the purchase of up to 10 million shares by its Founder and CEO, Roger James Hamilton, reinforcing his confidence in the company's trajectory. The firm also reported a 27% increase in revenue to $23.1 million in 2023 and set targets to achieve $105 million in revenue by 2024 and $1 billion annually by 2030.

In addition, Genius Group successfully completed Phase 1 of a $22 million contract with the government of Kazakhstan to develop a Sovereign AI, marking a strategic move to advance technological development through public-private partnerships. The company also secured approximately $3.8 million from the exercise of Series 2024-C warrants, managed by H.C. Wainwright & Co., aimed at strengthening its financial position.

In other developments, Genius Group added Mr. Riaz Shah, a respected figure in the education sector, to its Board of Directors. Furthermore, the company announced the implementation of its AI technology system by the Asset Recovery Committee of the Prosecutor General’s Office of the Republic of Kazakhstan, aimed at aiding in the identification and recovery of illegally obtained assets. These are among the recent developments for Genius Group.

InvestingPro Insights

Genius Group Limited's reverse stock split is a significant corporate action aimed at improving the marketability and compliance of its shares. In light of this development, InvestingPro provides valuable insights and real-time data to help investors understand the current financial landscape of the company.

An InvestingPro Tip indicates that analysts are expecting sales growth in the current year, which could signal confidence in the company's potential to expand its market presence and revenue streams. Additionally, the Relative Strength Index (RSI) suggests that the stock is currently in oversold territory, often seen as a potential indicator for a rebound, especially after a reverse stock split that may attract investor interest.

From a data perspective, Genius Group's market capitalization stands at $26.64 million, reflecting the company's size and investor valuation after the reverse stock split. The company has experienced a substantial revenue growth of 26.76% over the last twelve months as of Q4 2023, which aligns with the positive sales growth outlook provided by analysts. Despite these promising figures, the company's price performance has been underwhelming, with a significant return of -44.38% over the last month and -70.43% over the last three months.

These financial metrics and InvestingPro Tips are part of a broader analysis available on InvestingPro. For investors looking for a deeper dive into Genius Group's financial health and future prospects, there are an additional 17 InvestingPro Tips available at InvestingPro Genius Group, providing a comprehensive toolkit for informed decision-making.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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