After the reverse split, Sirius XM will have a reduced number of shares outstanding. The reverse split will convert each 10 shares of Sirius XM common stock into 1 share of the new Sirius common stock1. Therefore, the number of shares held by investors will be reduced by a factor of 10.
- Share Reduction: The reverse split will reduce the number of shares by a factor of 10. For example, if an investor held 100 shares of Sirius XM common stock, they will receive only 10 shares of the new Sirius common stock after the reverse split.
- Share Price Impact: The reverse split will result in a higher share price for the new Sirius stock. Currently trading at $2.99, the new shares will be valued at $29.90 each, a 10-fold increase2.
- Market Dynamics: The reverse split is part of a broader strategic move to consolidate the share base and align nominal share prices post-transaction, which could potentially increase the appeal of the stock to investors31.
Investors are advised to monitor the share count and price changes following the reverse split to understand the impact on their holdings and the overall market position of Sirius XM.
8/23/2024 08:54pm
