8-K: Globalstar Announces Voluntary Delisting from NYSE American, Plans Transfer to Nasdaq

Globalstar intends to voluntarily delist from the NYSE American and transfer its listing to the Nasdaq Global Select Market, contingent upon the completion of a reverse stock split.

Summary

• Globalstar, Inc. announced its intention to voluntarily delist its common stock from the NYSE American and transfer its listing to the Nasdaq Global Select Market.
• This move is contingent upon the completion of a previously disclosed reverse stock split.
• The company believes that the transfer to Nasdaq, combined with the reverse stock split, could broaden the stock's appeal to a wider range of investors.
• The last day of trading on the NYSE American is expected to be on or around February 10, 2025.
• Trading on the Nasdaq is expected to begin on or around February 11, 2025, under the current ticker symbol GSAT.
• Until the Nasdaq listing commences, the stock will continue to trade on the NYSE American under the GSAT symbol.

Sentiment

Score: 7

Explanation: The sentiment is moderately positive as the company is making a strategic move to enhance its visibility and appeal to investors. However, the reliance on forward-looking statements and associated risks temper the overall sentiment.

Positives

• The company believes the move to Nasdaq could make the common stock more attractive to a broader range of investors.
• The company's low Earth orbit ('LEO') satellite constellation ensures secure data transmission for connecting and protecting assets, transmitting critical operational data, and saving lives for consumers, businesses, and government agencies across the globe.
• Globalstar's terrestrial spectrum, Band 53, and its 5G variant, n53, offer carriers, cable companies, and system integrators a versatile, fully licensed channel for private networks with a growing ecosystem to improve customer wireless connectivity, while Globalstar's XCOM Radio Access Network ('RAN') product offers significant capacity gains in dense wireless deployments.

Risks

• The announcement contains forward-looking statements that are subject to risks and uncertainties.
• These risks and uncertainties could cause actual results to differ materially from the forward-looking statements.
• These risks are detailed in the company's Annual Report on Form 10-K for the fiscal year ended December 31, 2023, and other filings with the SEC.

Future Outlook

Globalstar anticipates completing the reverse stock split and transferring its listing to the Nasdaq Global Select Market, believing this will broaden its investor appeal.

Management Comments

• The Company believes that the voluntary delisting of its Common Stock from the NYSE American and transfer of its listing to Nasdaq, in combination with the Reverse Stock Split, could make the Common Stock more attractive to a broader range of investors.

Industry Context

Companies sometimes transfer exchange listings to increase visibility, attract a different investor base, or achieve cost savings.

Stakeholder Impact

• Shareholders may experience changes in stock valuation and trading dynamics.
• Employees may see changes in company prestige and potential growth opportunities.
• Customers and suppliers are unlikely to be directly impacted by this listing change.

Next Steps

• Completion of the reverse stock split.
• Delisting from the NYSE American.
• Commencement of trading on the Nasdaq.

Key Dates