1847 Holdings announces 1-for-25 reverse stock split

1847 Holdings announced that it will effect a 1-for-25 reverse stock split of its common shares that will become effective on September 11, 2023. 1847’s common shares will continue to trade on NYSE American under the symbol “EFSH” and will begin trading on a split-adjusted basis when the market opens on September 11, 2203. The new CUSIP number for the common shares following the reverse split will be 28252B887. Among other considerations, the reverse split is intended to maintain the Company’s compliance with the minimum bid price requirement for maintaining the listing of its common shares on NYSE American and to make the bid price more attractive to investors. Ellery W. Roberts, CEO of 1847, commented, “We are effectively executing on our strategic plan and remain on track to achieve $90 million in sales in 2023, not including our recently announced definitive agreement to acquire a premier consumer products company with over $20 million in sales for 2022. Importantly, we are now in a much stronger financial position and recently announced the restructuring of our convertible notes, thereby eliminating the potential equity dilution. Having significantly enhanced our capital structure, we believe this is the ideal time to reverse split our stock, which will reduce our shares outstanding and position us to attract a broader universe of institutional and other investors given the traction in our business. In addition, our cash flow is improving, which we anticipate will allow us to resume dividends and opportunistically repurchase stock in the future, subject to establishing a stock buyback plan and future market conditions. Also, as previously noted, Egan-Jones recently affirmed their BB+ rating on our senior credit facility, which further illustrates the strength of our balance sheet. I have personally purchased shares in the open market, and plan to purchase additional shares subject to limitations within the Company’s insider trading policy. Overall, I am more excited than ever about the outlook for the business, and believe this final step in our restructuring will allow us to drive significant value for shareholders in the months and years ahead.”