Freight Technologies Inc. (FRGT) Takes Action to Regain NASDAQ Compliance
HOUSTON, March 23, 2023 (GLOBE NEWSWIRE) -- Freight Technologies, Inc. (Nasdaq: FRGT) (“Fr8Tech''), a technology company offering its custom-developed Fr8App, an industry-leading freight-matching platform
powered by AI and machine-learning that offers a real-time portal for B2B cross-border and domestic shipping within the USMCA region, today announces a reverse share split intended to increase the
market price per share of the company’s ordinary share and allow Freight Technologies Inc. to bring the company into compliance with Nasdaq’s minimum bid price requirement and maintain its Nasdaq
Capital Market listing.
The company confirms that, as previously announced, the board of directors on March 3, 2023, approved a 10:1 reverse split of its ordinary shares, effective on or around March 24, 2023. Freight Technologies Inc.’s ordinary shares will continue to trade on the Nasdaq Capital Market under the symbol “FRGT,” but will trade under a new CUSIP number (G514113113).
Javier Selgas, CEO of Freight Technologies, commented, “Freight Technologies is on a mission to first disrupt then revolutionize cross-border shipping and domestic shipping within the United States-Mexico-Canada (USMCA) region. Maintaining NASDAQ listing is important for both the Company and the shareholders. We anticipate these actions will maintain our NASDAQ listing as evermore shippers and carriers continue to turn to Freight Technologies for our unique streamlined solutions in cross border shipping and logistics.”
As a result of the reverse share split, each 10 pre-split shares of Freight Technologies Inc. shares will automatically combine into one ordinary share without any action on the part of the holder. The number of outstanding ordinary shares following the reverse split will be reduced to 3,271,386. The adjusted capital value of the company, based on shares outstanding as of close of market on March 22, 2023 and a pre-split share price of $0.1676, will be approximately $5.5MM, a 91.6% discount to independent analyst’s target price for the company’s share of $20 on a split adjusted basis and an amount approximating 21% of TTM revenues for the year-ended December 31, 2022 of $25.9 million, also a figure that the company believes to be a significant discount to market comparable shares.