Marijuana Company of America Completes Reverse Stock Split
ESCONDIDO, Calif., Sept. 05, 2019 (GLOBE NEWSWIRE) -- MARIJUANA COMPANY OF AMERICA INC. (“MCOA” or the “Company”) (OTCQB:MCOA) (MCOAD), an innovative hemp and cannabis corporation, today announced that the company began trading on a split-adjusted basis, on September 3, 2019. The Company announced its proposal for a 1-for-60 reverse stock split, on July 31, 2019. The common shares of the Company, which previously traded under the ticker symbol “MCOA,” began trading on a post-split basis under the symbol “MCOAD,” which will continue for a period of 20 business days after which time the “D” will be removed, and the symbol will revert back to “MCOA.”
The reverse stock split affected all issued and outstanding shares of MCOA common stock. The par value of MCOA common stock remained unchanged at $0.001 per share upon the reverse stock split. The reverse stock split affected all stockholders uniformly and will not alter any stockholder’s percentage interest in MCOA’s equity. No fractional shares have been issued in connection with the reverse split. Stockholders, who would otherwise be entitled to receive a fractional share, have instead received one additional share as determined in good faith by MCOA’s Board of Directors.
Pacific Stock Transfer Company acted as the exchange agent and transfer agent for the reverse stock split. Stockholders holding their shares electronically in book-entry form were not required to take any action to receive post-split shares. Pacific Stock Transfer provided instructions to stockholders with physical certificates regarding the process for exchanging their pre-split stock certificates for book entry of the appropriate number of post-split shares.
Stockholders owning shares through a bank, broker or other nominee have had their positions adjusted to reflect the reverse stock split in accordance with their respective banks, broker’s or nominee’s particular processes. Additional information about the reverse stock split and stockholder approval can be found in the Company’s definitive proxy statement filed with the Securities and Exchange Commission (the “SEC”) on July 31, 2019, which is available free of charge at the SEC’s website, www.sec.gov.
About Marijuana Company of America, Inc.
MCOA is a corporation that participates in: (1) product research and development of legal hemp-based consumer products under the brand name “hempSMART™” that targets general health and well-being; (2) an affiliate marketing program to promote and sell its legal hemp-based consumer products containing CBD; (3) leasing of real property to separate business entities engaged in the growth and sale of cannabis in those states and jurisdictions where cannabis has been legalized and properly regulated for medicinal and recreational use; and, (4) the expansion of its business into ancillary areas of the legalized cannabis and hemp industry, as the legalized markets and opportunities in this segment mature and develop.
Legal Status of Cannabis
While legalized in California for recreational and medicinal use, cannabis remains a Schedule 1 drug under the Controlled Substances Act (21 U.S.C. § 811) and illegal under the federal law.
Forward Looking Statements
This news release contains "forward-looking statements" which are not purely historical and may include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, the development, costs and results of new business opportunities and words such as "anticipate", "seek", intend", "believe", "estimate", "expect", "project", "plan", or similar phrases may be deemed "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with new projects, the future U.S. and global economies, the impact of competition, and the Company's reliance on existing regulations regarding the use and development of cannabis-based products. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that any beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that any such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-K, our quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the Securities and Exchange Commission. For more information, please visit www.sec.gov.
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Released September 5, 2019