SofTech Announces Reverse Stock Split Approved at Annual Meeting of Shareholders
LOWELL, Mass. – May 31, 2011 – SofTech, Inc., a proven provider of Product Lifecycle Management (PLM) solutions, today announced that its proposed 1-for-20 reverse stock split of its common stock was approved at its Annual Meeting of Shareholders.SofTech anticipates the reverse stock split will be effective after the close of trading on June 7, 2011, and that SofTech common stock will begin trading on a post-split basis on the Pink Sheets at the opening of trading on June 8, 2011. When the reverse stock split becomes effective, every twenty (20) shares of issued and outstanding SofTech common stock will be automatically combined into one (1) issued and outstanding share of common stock. This will reduce the number of outstanding shares of SofTech common stock from approximately 20 million to 1 million. The number of authorized shares of SofTech’s common stock and the par value per share will each remain unchanged. SofTech common stock will continue trading on the Pink Sheets under the symbol “SOFT,” but will trade under a new CUSIP number, 834021206.
No fractional shares will be issued in connection with the reverse stock split. Instead, shareholders who would otherwise hold a fractional share of SofTech common stock will receive a cash payment in an amount equal to the product of (i) the fractional share amount multiplied by (ii) the average of the closing prices of the common stock on the Pink Sheets for the five trading days immediately preceding the effective date of the reverse split.
All records of SofTech’s transfer agent, Registrar and Transfer Company, will be updated to give effect to the reverse split. Registrar and Transfer Company will provide instructions to shareholders relating to the issuance of book-entry evidence of ownership to give effect to the reverse stock split, and instructions as to the issuance of new stock certificates. Shareholders whose certificates are held in “street name” or on deposit with their brokerage firm, as part of the DTC system, will be automatically adjusted on the same basis.
Also approved at the Annual Meeting of Shareholders were the election of a Class II director, the adoption of the 2011 Equity Incentive Plan and the ratification of McGladrey & Pullen, LLP to serve as the Company’s independent public accountants for the current fiscal year.
About SofTech
SofTech, Inc. (PK: SOFT) is a proven provider of product lifecycle management (PLM) solutions, including its flagship ProductCenter® PLM solution and its computer-aided design product CADRA®. As of the date hereof, SofTech, Inc.’s common stock is quoted on the Pink Sheets and the Company is not subject to the reporting requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, as amended.
SofTech’s solutions accelerate products and profitability by fostering innovation, extended enterprise collaboration, product quality improvements, and compressed time-to-market cycles. SofTech excels in its sensible approach to delivering enterprise PLM solutions, with comprehensive out-of-the-box capabilities, to meet the needs of manufacturers of all sizes quickly and cost-effectively.
Over 100,000 users benefit from SofTech software solutions, including General Electric Company, Goodrich, Honeywell, Siemens, Sikorsky Aircraft and the U.S. Army. Headquartered in Lowell, Massachusetts, SofTech (www.softech.com) has locations and distribution partners throughout North America, Europe, and Asia.
SofTech, CADRA and ProductCenter are registered trademarks of SofTech, Inc. All other products or company references are the property of their respective holders.
Forward Looking Statements
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities and Exchange Act of 1934. The statements relate to the effectiveness and completion of the reverse stock split and the timing thereof. Actual results could differ materially as a result of a variety of risks and uncertainties. We caution you not to place undue reliance on any forward-looking statements, which speak only as of the date of this press release, and we undertake no obligation to update this information.
Contact: Joseph P. Mullaney
President & Chief Executive Officer
(978) 513-2700
Press Releases
Be a fan on Facebook
Connect with us on Linked In
Follow us on Twitter
Suscribe to us on Youtube