RMX Industries Announces Reverse Stock Split Amid Cash Crunch
RMXI has more than doubled off its 52-week low of $0.55.
Summary
RMX Industries announced a 1-for-3 reverse stock split to increase the per-share price of its Class A common stock and improve marketability and liquidity. The company is burning cash with zero revenue and a going concern warning, relying on dilutive financings like the $1.36M in 18% notes issued in May. The stock traded at $2.43 pre-announcement, and the split's impact depends on whether it can stabilize the share price. RMX Industries has until August 31 to address a $2.02M convertible note maturity, adding pressure.
At the time of this announcement, RMXI was trading at $2.43 on OTC in the Industrial Applications And Services sector. The 52-week trading range was $0.55 to $6.00. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Dow Jones Newswires.