Oxford Lane Capital Implements 1-for-5 Reverse Stock Split

Oxford Lane Capital Corp. (OXLC) is undertaking a significant restructuring of its share capital through a 1-for-5 reverse stock split, effective Monday. This strategic move aims to boost the appeal of its shares among institutional investors by elevating the stock’s trading price.

The company’s shares will commence trading on a split-adjusted basis at the start of the upcoming week. While the number of outstanding shares will be reduced by 80%, the underlying value of shareholders’ investments will remain proportionate to their previous holdings. The investment firm’s management is executing this maneuver to make the stock more attractive to professional investors, who often have policies against holding lower-priced securities. The objective is to enhance market liquidity and draw fresh capital to the firm’s collateralized loan obligation Read more...