MultiPlan Corporation Announces Effective Date of Reverse Stock Split
11 September 2024 - 8:27AM
Business Wire
MultiPlan Common Stock Expected to Begin
Trading on a Split-adjusted Basis on September 23, 2024
MultiPlan Corporation (“MultiPlan” or the “Company”) (NYSE:
MPLN), a leading provider of technology and data-enabled cost
management, payment, and revenue integrity solutions to the U.S.
health care industry, today announced that it expects a 1-for-40
reverse stock split of its outstanding shares of Class A common
stock (the “common stock”) will be effective as of September 20,
2024 at 5:00 p.m. Eastern Time. MultiPlan’s common stock will
continue trading on the New York Stock Exchange (“NYSE”) under the
existing symbol (MPLN) and will begin trading on a split-adjusted
basis when the market opens on September 23, 2024, with the new
CUSIP number 62548M209.
As of the effective time of the reverse stock split, each share
of common stock will be automatically reclassified into one
fortieth (1/40th) of a share of issued and outstanding common
stock. This will reduce the number of shares outstanding from
approximately 658,127,871 shares to approximately 16,453,197 shares
(in each case, exclusive of treasury shares), subject to adjustment
for fractional shares.
The reverse stock split will also result in proportional
adjustments being made to: (1) all then-outstanding warrants
exercisable for MultiPlan’s common stock, such that fewer shares
would underlie such securities and the purchase price per share
will be increased; (2) all then-outstanding awards issued under the
Company’s 2020 Omnibus Incentive Plan, as amended, such that fewer
shares of MultiPlan’s common stock would underlie such awards and
the exercise price per share of the options will be increased; (3)
the number of shares of MultiPlan’s common stock then-available for
issuance under each of the Company’s 2020 Omnibus Incentive Plan,
as amended, and the Company’s 2023 Employee Purchase Plan, such
that fewer shares will be available for issuance under both plans;
and (4) the number of shares of MultiPlan’s common stock issuable
upon conversion of the Company’s then-outstanding 6.00% / 7.00%
Convertible Senior PIK Toggle Notes due 2027, such that fewer
shares would be issuable upon conversion of such notes and the
conversion price will be increased.
Continental Stock Transfer & Trust Company is acting as the
exchange agent for the reverse stock split. Registered stockholders
holding pre-split shares of MultiPlan’s common stock are not
required to take any action to receive post-split shares.
Stockholders owning shares via a broker, bank, trust or other
nominee will have their positions automatically adjusted to reflect
the reverse stock split, subject to such broker’s particular
processes, and will not be required to take any action in
connection with the reverse stock split.
The reverse stock split is primarily intended to increase the
per share trading price of MultiPlan’s common stock in order to
meet the NYSE’s price criteria for continued listing.
About MultiPlan
MultiPlan is committed to bending the cost curve in healthcare
by delivering transparency, fairness, and affordability to the US
healthcare system. Our focus is on identifying medical savings,
helping to lower out-of- pocket costs, and reducing or eliminating
balance billing for healthcare consumers. Leveraging sophisticated
technology, data analytics, and a team rich with industry
experience, MultiPlan interprets customers’ needs and customizes
innovative solutions that combine its payment and revenue
integrity, network-based, data and decision science, and
analytics-based services. MultiPlan delivers value to more than 700
healthcare payors, over 100,000 employers, 60 million consumers,
and 1.4 million contracted providers. For more information, visit
multiplan.com.
Forward Looking Statements
This press release contains forward-looking statements. These
forward-looking statements can generally be identified by the use
of forward-looking terminology, including the terms “believes,”
“estimates,” “anticipates,” “expects,” “seeks,” “projects,”
“forecasts,” “intends,” “plans,” “may,” “will” or “should” or, in
each case, their negative or other variations or comparable
terminology. These forward-looking statements include all matters
that are not historical facts, including the discussion in this
press release of the reverse stock split and expected benefits. The
forward-looking statements are made pursuant to the Safe Harbor
provisions of the Private Securities Litigation Reform Act of 1995
and speak only as of the date they are made. Any forward-looking
statements that we make herein are not guarantees of future
performance and actual results may differ materially from those in
such forward-looking statements as a result of various factors.
Factors that may impact such forward-looking statements also
include the factors discussed under “Risk Factors” in the Company’s
Annual Report on Form 10-K for the fiscal year ended December 31,
2023 and our Quarterly Report on Form 10-Q for the three months
ended June 30, 2024; and other factors beyond our control. Should
one or more of these risks or uncertainties materialize, or should
any of the assumptions prove incorrect, actual results may vary in
material respects from those projected in these forward-looking
statements. The Company’s periodic and other filings are accessible
on the SEC’s website at www.sec.gov. We undertake no obligation to
update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise.
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version on businesswire.com: https://www.businesswire.com/news/home/20240910942728/en/
Investor Relations Luke Montgomery, CFA SVP, Finance
& Investor Relations MultiPlan 866-909-7427
investor@multiplan.com
Shawna Gasik AVP, Investor Relations MultiPlan 866-909-7427
investor@multiplan.com
Media Relations Pamela Walker AVP, Marketing &
Communication MultiPlan 781-895-3118 press@multiplan.com
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