Class A Common Stock Expected to Commence Trading on Reverse Split-Adjusted Basis on September 9, 2024
BlackSky Technology Inc. (“BlackSky”) BKSY, has made a bold move by announcing a 1-for-8 reverse stock split of its Class A common stock. The Reverse Stock Split, given the stamp of approval by BlackSky’s stockholders at their recent virtual annual meeting, is scheduled to kick in at 4:15 p.m. Eastern Time on September 6, 2024. Come September 9, 2024, the Class A Common Stock will re-enter the fray on the New York Stock Exchange (NYSE) on a reverse split-adjusted basis under the existing trading symbol “BKSY.”
The Reverse Stock Split will usher in a new CUSIP number for the Class A Common Stock, set as 09263B 207. Notably, BlackSky’s publicly traded warrants will maintain their status quo on the NYSE under the symbol “BKSY.W,” with their corresponding CUSIP number remaining unchanged.
With this move, every eight shares of issued Class A Common Stock will transform into one new share of Class A Common Stock at the effective time of the Reverse Stock Split. It’s important to note that this rearrangement will not impact the total number of authorized shares of Class A Common Stock or BlackSky’s preferred stock, keeping the par value per share of the Class A Common Stock steady at $0.0001.
Following the Reverse Stock Split, adjustments will ripple through, affecting the per-share exercise price, the number of shares issuable upon the exercise or settlement of all outstanding BlackSky options and restricted stock units, and the number of shares earmarked for issuance under BlackSky’s equity incentive plans. Simultaneously, proportionate tweaks will extend to BlackSky’s outstanding warrants, rendering each publicly traded warrant exercisable for 1/8th of a share of Class A Common Stock at a set exercise price of $92.00 per whole share.
Notably, no fractional shares will be granted post-Reverse Stock Split. Stockholders who would normally be in line for fractional shares as a result of the split will receive a cash payout (sans interest), pegged at a value mirroring the number of shares of Class A Common Stock in their possession pre-split. This value will be calculated by multiplying the potential fractional share interest by the closing price per share of the Class A Common Stock on the NYSE on September 6, 2024, the day of the Reverse Stock Split’s effectiveness.
Handling the transitional nitty-gritty is Continental Stock Transfer & Trust Company, acting as the transfer and exchange agent for the Reverse Stock Split. Registered stockholders holding Class A Common Stock need not lift a finger to secure post-reverse split shares. On the flip side, stockholders owning shares via an intermediary like a broker or bank will witness automatic adjustments to their positions to align with the Reverse Stock Split, contingent upon the processes specific to their broker, without the need for any proactive steps related to the Reverse Stock Split.
Further insights on the Reverse Stock Split can be gleaned from BlackSky’s definitive proxy statement submitted to the Securities and Exchange Commission (SEC) on July 25, 2024. The statement is readily accessible on the SEC’s website or on BlackSky’s own platform.
About BlackSky
BlackSky, a real-time, space-based intelligence entity, is setting the stage for itself as a master of on-demand, high-frequency imagery, analytics, and monitoring of pivotal global locations, economic assets, and events. Fueled by the BlackSky Spectra® tasking and analytics software platform, and its unique low earth orbit satellite constellation, BlackSky enables customers to peer into the future, anticipate twists and turns, and gain a decisive upper hand in the tactical realm. With an impressive client roster featuring stringent U.S. and international government agencies, as well as commercial enterprises globally, BlackSky is clearly positioning itself as the go-to for real-time intelligence. HQ’d in Herndon, VA, BlackSky is publicly listed on the NYSE under BKSY. For more details, swing by BlackSky’s website and keep tabs on their Twitter feed.
Forward-Looking Statements
This press release contains forward-looking statements about BlackSky, marked by expressions like “believe,” “project,” “expect,” and similar. These musings speak to forecasts, predictions, and outlooks on forthcoming events, all based on prevailing expectations and assumptions, and hence beholden to risks and uncertainties. Should these materialize, or if bedrock assumptions prove faulty, actual outcomes may deviate markedly from the implicit outcomes in these forward-looking statements. The onus rests on BlackSky to stay the course amid potential market tremors and evolving scenarios that could prompt a reevaluation of outlooks. While the forward-looking statements reflect BlackSky’s take on future happenings and vistas at the time of release, subsequent developments could prompt a shift in stance. Therefore, reliance on these statements should be tempered by the understanding that updates might be on the horizon to accommodate new information, unforeseen events, or regulatory obligations. To stay abreast of the risk landscape, refer to BlackSky’s periodic disclosures, lodged with the SEC and readily accessible on the SEC website.