MENLO PARK, Calif., July 2, 2024 - Cyngn Inc. (the “Company” or “Cyngn”) (Nasdaq: CYN) today announced that it will proceed with a 1-for-100 reverse stock split (“Reverse Stock Split”) of its outstanding shares of Common Stock following approval by its Board of Directors. This ratio is within the ratio range approved by stockholders at the Company’s annual stockholder meeting held on June 25, 2024.
The Reverse Stock Split is expected to become effective at 5 p.m., Eastern Time, on July 3, 2024. Cyngn expects the Company’s Common Stock will begin trading on a post-split basis at the market open on July 5, 2024, under the symbol “CYN” with the new CUSIP number 23257B 206. The primary objective of the Reverse Stock Split is to increase the per share market price of the Common Stock to regain compliance with the minimum bid price requirement for continued listing on the Nasdaq Capital Market.
When the Reverse Stock Split is effective, every 100 shares of Cyngn Common Stock issued and outstanding will be combined automatically into 1 share of Common Stock. The Reverse Stock Split will apply equally to all outstanding shares of Common Stock and each stockholder will hold the same percentage Common Stock outstanding immediately following the Reverse Stock Split, except for adjustments that may result from the treatment of fractional shares. No fractional shares will be issued in connection with the Reverse Stock Split, instead fractional shares will be rounded up. Additionally, all equity awards and warrants outstanding immediately prior to the Reverse Stock Split will be proportionately adjusted.
Continental Stock Transfer and Trust is acting as the exchange agent and transfer agent for the Reverse Stock Split. Stockholders holding their shares electronically in book-entry form are not required to take any action to receive post-split shares. The Company does not have any outstanding certificated shares. Shareholders owning shares through a bank, broker or other nominee will have their positions adjusted to reflect the Reverse Stock Split in accordance with their respective bank’s, broker’s, or nominee’s particular processes.
Additional information about the Reverse Stock Split can be found in Cyngn’s definitive proxy statement (Form DEF 14A) filed with the U.S. Securities and Exchange Commission (the “SEC”) on May 21, 2024 and on Cyngn’s Investor Relations website at investors@cyngn.com.