BlackSky Technology Inc., known by its ticker symbol BKSY, recently unveiled a bold move that stirred the waters of Wall Street. The company declared a 1-for-8 reverse stock split of its Class A common stock, par value $0.0001 per share. This transformative initiative was given the green light by BlackSky’s loyal stockholders during a virtual annual meeting. The wheels of change are set to turn at 4:15 p.m. Eastern Time on September 6, 2024, with the official commencement of trading on the New York Stock Exchange (NYSE) slated for September 9, 2024, under the same revered symbol, “BKSY.”
The post-reverse split version of BlackSky’s Class A Common Stock will dawn with a new CUSIP number, 09263B 207. The company’s publicly traded warrants will retain their presence on the NYSE under the symbol “BKSY.W,” with their CUSIP number remaining unscathed.
At the stroke of the Reverse Stock Split, every eight shares of the cherished Class A Common Stock will seamlessly morph into a solitary new share of the same class. This restructuring maneuver, however, shall have no bearing on the authorized shares of Class A Common Stock or BlackSky’s coveted preferred stock. Moreover, the par value per share of Class A Common Stock shall steadfastly hold its ground at $0.0001.
Following the Reverse Stock Split, adjustments will ripple through the per-share exercise price and the count of shares available upon exercising all existing BlackSky options and restricted stock units earmarked for Class A Common Stock acquisition. Furthermore, the number of shares set aside for issuance under BlackSky’s equity incentive plans will experience a proportional downtick. Correspondingly, the company’s outstanding warrants will undergo harmonization, rendering every publicly traded warrant ripe for exercising for 1/8th of a share of Class A Common Stock at a set price of $92.00 per whole share.
The realm of fractional shares shall cease to exist post-Reverse Stock Split. Those shareholders who would typically be entitled to a piece of a share will instead receive a cash compensation (sans interest) based on the number of Class A Common Stock shares held prior to the split that would have been exchanged for a fraction, multiplied by the closing share price on the NYSE on September 6, 2024.
Steering the ship through these choppy tides is Continental Stock Transfer & Trust Company, acting as the facilitator for the Reverse Stock Split. For registered stockholders clutching shares of Class A Common Stock, no action is necessary to embrace their new allotment of post-split shares. Meanwhile, stockholders entrusting their stake to a broker, bank, trust, or similar entity can sit back as their positions undergo automatic recalibration to reflect the ramifications of the Reverse Stock Split, courtesy of the broker’s internal mechanisms.
For those seeking deeper insights into the mechanics of the Reverse Stock Split, BlackSky’s definitive proxy statement, released on July 25, 2024, with the SEC, offers a treasure trove of information, available at the SEC’s website.
About BlackSky
BlackSky is not your run-of-the-mill corporation; it’s a beacon of innovation illuminating the skies. A real-time, space-based intelligence enterprise, BlackSky specializes in providing on-demand, high-frequency imagery, analytics, and monitoring of critical global locations, economic assets, and pivotal events. The company boasts ownership and operation of one of the industry’s most sophisticated commercial, real-time intelligence systems. This cutting-edge system integrates the BlackSky Spectra® tasking and analytics software platform with the proprietary low earth orbit satellite constellation.
BlackSky empowers its clientele to gain insight, foresee changes, and seize opportunities, giving them a tactical advantage in a variable world. The company’s credibility is sealed with the trust of stringent U.S. and international government agencies, leading commercial enterprises, and global organizations. BlackSky, headquartered in Herndon, VA, proudly graces the New York Stock Exchange as BKSY.
Forward-Looking Statements
Peering into the crystal ball, this press release unveils a canvas of forward-looking statements concerning BlackSky’s trajectory. These statements, marked by expressions such as “believe,” “project,” “expect,” and others, offer a glimpse into the company’s vision for the future. However, these forward-looking projections are anchored in the present, subject to the ebb and flow of risks and uncertainties that govern the financial skyline.
The Reverse Stock Split is a prime example of a move that could sway the future course of events. Should the winds of change blow differently or assumptions falter, the terrain of actual future events may diverge significantly from the picturesque vista painted by these forward-looking statements. The kaleidoscope of risks and uncertainties, detailed in BlackSky’s disclosures to the SEC, serves as a stark reminder of the dynamic landscape in which such transformations unfold.
As the sands of time trickle down the hourglass, the picture sketched by forward-looking statements may warp and weft with the advent of new events. Consequently, it is imperative not to anchor oneself to the views expressed today, for tomorrow may bring tides that alter the course. The company pledges not to echo the past but embrace the evolving future, adhering to the mandates set forth by securities laws.