(RTTNews) - Chesapeake Energy Corp. (CHK) announced a 1-for-200 reverse stock split and authorized shares reduction.
At a special meeting held on April 13, shareholders voted to approve a proposal authorizing the Board of Directors to effect a reverse stock split of the company's common stock at a ratio ranging from 1-for-50 (1:50) to 1-for-200 (1:200).
Further, under the share reduction authorization, the total number of authorized shares of the company's common stock will be reduced as determined by a formula based on two-thirds of the reverse stock split ratio.
The company said a Certificate of Amendment to the Company's Restated Certificate of Incorporation that gives effect to the reverse stock split and the authorized shares reduction has been filed with the Oklahoma Secretary of State. It will become effective on April 14.
The common stock will begin trading on a split-adjusted basis on the New York Stock Exchange at the market open on April 15.
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