LAS VEGAS, NV—Verb Technology Company, Inc. (NASDAQ:VERB), a provider of personal services, shared a letter from its President and CEO to its stockholders today, detailing recent updates on the company's performance and operations.
The letter, dated October 11, 2024, was disclosed in a Form 8-K filed with the Securities and Exchange Commission. Rory J. Cutaia, the company's President and CEO, addressed the shareholders to provide an update on Verb Technology's status.
The company, which has its roots in various former entities including nFusz , Inc., BBOOTH, INC., and Global System Designs, Inc., has undergone several name changes historically, with the most recent being from nFusz, Inc. in 2017.
Verb Technology is headquartered at 3024 Sierra Juniper Court, Las Vegas, Nevada, and operates under the jurisdiction of incorporation in Nevada. It is registered with the IRS under the employer identification number 461669753 and adheres to a fiscal year ending December 31.
The details of the letter to the shareholders have not been disclosed in this report. However, the filing of the letter as an exhibit in the 8-K form indicates the company's commitment to transparency and communication with its investors.
The 8-K form itself is a report required by the SEC used by publicly traded companies to announce major events that shareholders should be aware of. Verb Technology's filing ensures that all material information is disclosed and available to the public in a timely manner.
This news comes as part of the company's ongoing efforts to keep its investors informed about its business activities. It's based on a press release statement, and further information can be gathered from the company's SEC filings.
Investors and interested parties can refer to the SEC's website for detailed information and to view the full text of the letter to the stockholders as attached to the 8-K filing.
In other recent news, Verb Technology Company, Inc. has announced a 1-for-200 reverse stock split, aimed at reducing the number of outstanding common stock from approximately 152.6 million shares to about 763,230 shares. This decision was made following a majority vote by stockholders in favor of the move. Alongside this, Verb Technology has received an extension from The Nasdaq Stock Market to execute this reverse stock split by October 22, 2024.
In parallel, Verb Technology has withdrawn a planned securities offering after assessing its financial position and capital requirements, with cash and equivalents reported at approximately $14.2 million and notes payable around $1.2 million. The company has also been under scrutiny for failing to meet Nasdaq's continued listing standard, which necessitates a minimum bid price of $1.00 per share.
In terms of partnerships, Verb Technology has teamed up with BeautyStat for a live shopping event on TikTok, marking an expansion of its interactive sales applications. Moreover, the company has entered into a significant partnership with TikTok Shop, which is expected to generate revenue through service fees and a percentage of monthly revenue from TikTok stores established via their platform. These are some of the recent developments surrounding Verb Technology.
InvestingPro Insights
Recent financial data from InvestingPro sheds light on Verb Technology's current market position and performance. The company's market capitalization stands at a modest $4.03 million, reflecting its status as a small-cap stock in the personal services sector.
InvestingPro Tips highlight some concerning trends for Verb Technology. The stock has experienced significant declines across various timeframes, with a staggering 96.22% drop over the past year. This aligns with the InvestingPro Tip that the stock "has fared poorly over the last month" and is currently "trading near 52-week low." These indicators suggest that investors have been losing confidence in the company's prospects.
Another InvestingPro Tip notes that Verb Technology is "quickly burning through cash," which is particularly relevant given the CEO's recent letter to stockholders. This cash burn rate could be a critical factor influencing the company's future strategies and operations.
For investors seeking a more comprehensive analysis, InvestingPro offers 17 additional tips for Verb Technology, providing a deeper understanding of the company's financial health and market position.
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