ENGLEWOOD, Colo., Dec. 15, 2016 (GLOBE NEWSWIRE) -- Gevo, Inc. (NASDAQ:GEVO), announced that today stockholders approved an amendment to its Amended and Restated Certificate of Incorporation to effect a reverse stock split of the outstanding shares of common stock, by a ratio of not less than one-for-two and not more than one-for-twenty at any time on or prior to January 6, 2017, with the exact ratio to be set at a whole number within this range by the Board of Directors in its sole discretion. Gevo intends to announce the exact ratio for the reverse stock split as soon as it has been determined by the Board of Directors.
“This is an important result for Gevo as we expect it will allow us to maintain our listing on the NASDAQ Capital Market, thus preserving the liquidity of our stock. More importantly, not being listed on a national securities exchange would potentially have allowed certain holders of our convertible notes to accelerate the repayment of their debt. We ended last quarter with approximately $31.1 million of cash, and we would much prefer using these funds for growing the business rather than using it all to pay off creditors. I would like to thank our stockholders for their ongoing support of Gevo and we look forward to continuing the company’s path towards profitability,” said Pat Gruber, Gevo’s Chief Executive Officer.
Gevo is a renewable technology, chemical products, and next generation biofuels company. Gevo has developed proprietary technology that uses a combination of synthetic biology, metabolic engineering, chemistry and chemical engineering to focus primarily on the production of isobutanol, as well as related products from renewable feedstocks. Gevo’s strategy is to commercialize bio-based alternatives to petroleum-based products to allow for the optimization of fermentation facilities’ assets, with the ultimate goal of maximizing cash flows from the operation of those assets. Gevo produces isobutanol, ethanol and high-value animal feed at its fermentation plant in Luverne, Minnesota. Gevo has also developed technology to produce hydrocarbon products from renewable alcohols. Gevo currently operates a biorefinery in Silsbee, Texas, in collaboration with South Hampton Resources Inc., to produce renewable jet fuel, octane, and ingredients for plastics like polyester. Gevo has a marquee list of partners including The Coca-Cola Company, Toray Industries Inc. and Total SA, among others. Gevo is committed to a sustainable bio-based economy that meets society’s needs for plentiful food and clean air and water.
Certain statements in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, which include statements relating to the continued listing of Gevo’s stock on the Nasdaq Capital Market and the effect of the reverse stock split and use of cash, are made on the basis of the current beliefs, expectations and assumptions of the management of Gevo and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Gevo undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Gevo believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Gevo in general, see the risk disclosures in the Annual Report on Form 10-K of Gevo for the year ended December 31, 2015, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the U.S. Securities and Exchange Commission by Gevo.
Gevo Media Contact
The David James Agency, LLC
Gevo Investor Contact:
Shawn M. Severson
EnergyTech Investor, LLC