LOS ANGELES, CA, March 25, 2019 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- Agritek Holdings, Inc. (OTC PINK: AGTK) www.AgritekHoldings.com, a fully integrated, active cannabis real estate investor and brand licensor for the cannabis sector in the United States and Canada, today announced a reverse stock split of its shares of common stock at a ratio of 1-for-200. The reverse split will take effect at the open of business Tuesday, March 26, 2019. The common shares of Agritek Holdings Inc., which previously traded under the ticker symbol “AGTK,” will begin trading on a post-split basis under the symbol “AGTKD,” which will continue for a period of 20 business days after which time the “D” will be removed, and the symbol will revert back to “AGTK.” The Company’s common stock will also be identified under a new CUSIP number (00856J202).
Each stockholder’s percentage ownership interest in Agritek Holdings Inc. remains unchanged with the reverse stock split. As a result of the reverse stock split, every 200 shares of issued and outstanding common stock are converted into one share of common stock, with all fractional shares being rounded up to the nearest whole share. No fractional shares will be issued in connection with the reverse stock split. The reverse stock split will reduce the number of shares of issued and outstanding common stock from approximately1,267,544,913 pre-split shares to approximately 6,338,578 post-split shares.
As previously disclosed, the reverse split was implemented by the Company in connection with the Company’s planned application to list its shares of common stock on the OTCQX Market. The reverse split is intended to fulfill the stock price requirements for listing on the higher exchange and future national markets.
“This reverse stock split is an important step in restructuring Agritek Holdings’ corporate development, as we continue to execute on our operational strategy,” stated Neil Mundie, acting CEO of Agritek Holdings. “Our plans to move to a higher national exchange will help support the creation of long-term stockholder value by attracting a broader, more diverse stockholder base, more favorable bank financing for our Colorado and Puerto Rico based assets as well as providing an enhanced platform for potential M&A activity in the future. At this time, we would also like to express our gratitude to our current shareholders who have exhibited loyalty and patience as we continue to bring proper market valuation to our cannabis assets and licenses in multiple jurisdictions through a higher national exchange,” added Mundie.
Upon effectiveness, the reverse stock split will cause a reduction in the number of shares of common stock issued and outstanding. In addition, the reverse stock split will reduce the number of shares of common stock issuable upon the exercise of its outstanding stock options and warrants in proportion to the ratio of the reverse stock split and will cause a proportionate increase in the conversion and exercise prices of stock options and warrants. The number of shares of common stock issuable upon exercise or vesting of outstanding stock options and warrants will be rounded up to the nearest whole share. The Company’s authorized number of shares of common stock will remain unchanged after the reverse split and the par value of the Company’s common stock will remain unchanged at $0.001.
Registered stockholders holding their shares of common stock in book-entry or through a bank, broker or other nominee form do not need to take any action in connection with the reverse stock split. For those stockholders holding physical stock certificates, the Company's transfer agent, Vstock Transfer, LLC, will send instructions for exchanging those certificates for new certificates representing the post-split number of shares. Vstock Transfer, LLC can be reached at (212) 828-8436.
Additional information about the reverse stock split can be found in the Company's definitive 14C and information statement filed with the Securities and Exchange Commission on March 6th, 2019, a copy of which is also available at www.sec.gov
About Agritek Holdings, Inc.
Agritek Holdings, Inc. (www.AgritekHoldings.com), is a fully integrated, active investor and operator in the legal cannabis sector. Specifically, Agritek Holdings provides strategic capital and functional expertise to accelerate the commercialization of its diversified portfolio of cannabis related holdings. Currently, the Company is focused on three high-value segments of the cannabis market, including real estate investment, intellectual property/brands, and infrastructure, with operations in three U.S. States, Canada and Puerto Rico. Agritek Holdings, Inc. presently owns or manages property in Colorado, Washington State, Puerto Rico and Canada and has licenses with permitted facilities in California approved for cultivation as well as manufacturing capabilities. The company owns several Hemp and cannabis brands for distribution including "Hemp Pops", Hemp oil wellness products and "California Premiums". Agritek Holdings, Inc. does not directly grow, harvest, or distribute or sell cannabis or any substances that violate or contravene United States law or the Controlled Substances Act, nor does it intend to do so in the future.
This press release may contain certain forward-looking statements and information, as defined within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and is subject to the Safe Harbor created by those sections. This material contains statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. Such forward-looking statements by definition involve risks, uncertainties and other factors, which may cause the actual results, performance or achievements of Agritek Holdings, Inc. to be materially different from the statements made herein. All statements other than statements of historical fact contained in this press release are forward-looking statements. In some cases, forward-looking statements can be identified by terminology such as "anticipate," "believe," "can," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," or "will" or the negative of these terms or other comparable terminology and include statements regarding expected timing of the filing of the Annual Report on Form 10-Q for the quarter ended June 30, 2018. These forward-looking statements are based on management's expectations and assumptions as of the date of this press release and are subject to a number of risks and uncertainties, many of which are difficult to predict that could cause actual results to differ materially from current expectations and assumptions from those set forth or implied by any forward-looking statements. Important factors that could cause actual results to differ materially from current expectations include, among others, our ability to timely file our requisite filings with the Securities and Exchange Commission, our ability to meet the continued listing requirements of the OTC Market, our ability to expand leadership activities in support of our sales, our ability to continue to grow, our ability to integrate the entities that we have acquired, our ability to strengthen our internal controls and the other risks outlined under "Risk Factors" in our Annual Report on Form 10-K for our fiscal year ended December 31, 2017 and our other filings with the SEC, including subsequent reports on Forms 10-Q and 8-K. The information in this release is provided only as of the date of this release, and we undertake no obligation to update any forward-looking statements contained in this release on account of new information, future events, or otherwise, except as required by law.
Agritek Holdings, Inc.