Chanticleer Holdings Announces 1-for-26 Reverse Stock Split

• Nasdaq approves continued listing of Sonnet BioTherapeutics following closing of merger
  
  
• Merger transaction expected to close on April 1, 2020
  
  
• Trading under “SONN” expected to begin April 2, 2020

CHARLOTTE, N.C., March 31, 2020 (GLOBE NEWSWIRE) -- Chanticleer Holdings, Inc. (Nasdaq: BURG) (the “Company” or “Chanticleer”), owner, operator and franchisor of multiple nationally-recognized restaurant brands, today announced that it will effect a 1-for-26 reverse stock split of its outstanding common stock. The reverse stock split will be effective for trading purposes as of the commencement of trading on Thursday, April 2, 2020.

Chanticleer also announced today that the Nasdaq Stock Market has approved the continued listing of Sonnet BioTherapeutics Holdings, Inc. on the Nasdaq Capital Market following its merger with Chanticleer, which is expected to close tomorrow, April 1, 2020. As previously disclosed, in connection with the merger, Chanticleer will spin off its restaurant operations.  Upon the closing of the merger, Chanticleer will change its name to Sonnet BioTherapeutics Holdings, Inc. and its common stock is expected to begin trading on the Nasdaq Capital Market on Thursday, April 2, 2020 on a post reverse stock split basis under the symbol “SONN”. 

The reverse stock split is intended to increase the per share trading price of Chanticleer common stock to satisfy the minimum bid price requirement for continued listing on The Nasdaq Capital Market after the completion of the merger. Chanticleer’s common stock will continue to trade on The Nasdaq Capital Market under the symbol “SONN” and under a new CUSIP number 83548R105. As a result of the reverse stock split, every 26 pre-split shares of common stock outstanding will become one share of common stock. The par value of the common stock will remain unchanged at $0.0001 per share after the reverse stock split. The reverse stock split will not change the authorized number of shares of the Company’s common stock. The reverse stock split will affect all stockholders uniformly and will not alter any stockholder’s percentage interest in the Company’s equity, except to the extent that the reverse stock split results in some stockholders owning a fractional share. No fractional shares will be issued in connection with the reverse split. Stockholders who would otherwise be entitled to receive a fractional share will instead receive a cash payment based on today’s closing price of the Company’s common stock as reported on Nasdaq. The reverse split will also apply to common stock issuable upon the exercise of Chanticleer’s outstanding warrants and stock options, with a proportionate adjustment to the exercise prices thereof, and under the Company’s equity incentive plans.