RAM Holdings Ltd.’s Reverse Stock Split
Bermuda’s RAM Holdings Ltd. today [Oct. 21] announced that the effective time of the reverse stock split of the company’s issued common shares will occur at the close of business in Bermuda on November 8, 2011.
As previously announced, on 28 September, 2011, at the Annual General Meeting of shareholders, the company’s shareholders approved the consolidation of RAM Holding’s issued common shares of par value US$0.10 each into common shares of par value US$1.00 each on a 1 for 10 basis.
Following the consolidation, a portion of RAM Holdings’ additional paid in capital account will be capitalized in order to issue fractions of common shares to shareholders who hold a fraction of a common share as a result of the consolidation in order to round up any fractional shares to the next whole share.
In order to effect the consolidation in an orderly manner, the company has requested the suspension of trading on the Bermuda Stock Exchange beginning at the close of trading on the BSX on Thursday, November 3, 2011.
Trading is expected to resume on the BSX following the effective time at the open of the market on Wednesday, November 9, 2011.
The company expects that trading of its common shares will continue
through the effective time of the consolidation, notwithstanding the suspension of trading on the BSX.
Following the effective time, the company expects that its common shares will trade under the new ticker symbol “RAMRD” for 20 business days to indicate that the consolidation has occurred.
Thereafter, the company expects that its symbol will revert back to its original symbol “RAMR”. There will be no change to the ticker symbol for the BSX.
In addition, the issued and consolidated common shares will trade
under a new CUSIP number.
BNY Mellon Shareowner Services, the company’s transfer agent, will act as exchange agent for the exchange of share certificates following the consolidation.
Shareholders will receive the forms and notices to exchange their existing shares for new shares from
the exchange agent or their broker.
Additional information regarding the consolidation can be found in the company’s proxy statement dated 19 August, 2011, as supplemented by the company’s press release dated 22 September, 2011.
RAM Holdings Ltd. is a Bermuda-based holding company.
Its operating subsidiary, RAM Reinsurance Company Ltd., provides financial guaranty reinsurance for US and international public finance and structured finance transactions.
