Virgin Galactic board approves 1-for-20 reverse stock split

Virgin Galactic Holdings announced that its Board of Directors has approved a 1-for-20 reverse stock split of the company’s common stock. The reverse stock split is expected to become effective at 5:00 p.m. Eastern Time on June 14, 2024, after close of trading on the New York Stock Exchange. The company’s common stock is expected to commence trading on a split-adjusted basis when the market opens on June 17, 2024 under the existing trading symbol “SPCE.” The new CUSIP number for the company’s common stock following the reverse stock split will be 92766K 403. The primary goal of the reverse stock split is to increase the per share market price of the company’s common stock to meet the minimum per share bid price requirement for continued listing on the NYSE. The reverse stock split was approved by the company’s stockholders at its annual meeting of stockholders held on June 12, 2024. On June 12, 2024, following the annual meeting of stockholders, the company’s Board of Directors approved the reverse stock split at the ratio of 1-for-20. As a result of the reverse stock split, every 20 shares of the company’s common stock issued and outstanding will be automatically reclassified into one new share of the company’s common stock. Proportionate adjustments will be made to the exercise prices and the number of shares underlying the company’s outstanding equity awards, as applicable, as well as to the number of shares issuable under the company’s equity incentive plans and certain existing agreements. The common stock issued pursuant to the reverse stock split will remain fully paid and non-assessable. The reverse stock split will not decrease the number of authorized shares of common stock or otherwise affect the par value of the common stock.