Oxford Lane Capital Shares Trade at Discount Following Reverse Split

Oxford Lane Capital has provided investors with their first look at the company’s valuation since completing a recent reverse stock split. Management’s preliminary estimate places the net asset value per share in a range of $20.02 to $20.22. This assessment creates a notable gap when compared to Friday’s closing share price of $17.69, indicating the stock is currently trading at a significant discount.

The estimated figures are based on data from September 8th and follow the implementation of a 1-for-5 reverse split, which took effect after market close on September 5th. Company officials were careful to note that these are provisional numbers which have not yet received formal approval from the board of directors.

While a reverse split does not alter a company’s overall market... Read more...