Shareholders of Utah-based Dynatronics Corp. approved a one-for-five reverse split of the company’s common stock at the annual shareholders meeting earlier this week.
The company, which makes medical devices used by sports medicine practitioners, physical therapists and chiropractors, said approximately 93 percent of the votes cast were in favor of the reverse split, which became effective today.
Dynatronics’ management proposed the reverse split to help it deal with the weak price of the company’s shares that had fallen below the $1 minimum bid Nasdaq requires companies to maintain in order to continue to be listed on the exchange.
"After careful analysis, our board of directors determined that the best course of action for shareholders was to maintain our Nasdaq listing where we have traded for the past 28 years," Kelvyn H. Cullimore Jr., chairman and president, said in a statement announcing the results of the shareholder vote.
Copyright 2013 The Salt Lake Tribune. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.