Worksport announces 1-for-10 reverse stock split

WEST SENECA, NY - Worksport Ltd. (NASDAQ: WKSP), a manufacturer of hybrid and clean energy solutions for the light truck and consumer goods sectors, has announced it will implement a 1-for-10 reverse stock split. The action, set to take effect at the start of trading on Tuesday, March 18, 2025, aims to elevate the company’s share price to meet Nasdaq’s minimum bid price requirement. The company, currently valued at $18.47 million, has shown remarkable revenue growth of 777% in the last twelve months, according to InvestingPro data.

The reverse stock split was approved by the company’s Board of Directors on February 25, 2025, and does not necessitate shareholder approval under Nevada law, as it neither increases the number of authorized shares nor alters the par value. As a result, each ten shares of issued and outstanding common stock will automatically convert into one share. The company’s outstanding shares will decrease from approximately 47.9 million to 4.8 million.

Worksport CEO Steven Rossi expressed optimism about the company’s growth and upcoming product launches, stating, "Worksport fundamentally remains unchanged after this split. We’re growing steadily, targeting cash flow positivity in 2025, and gearing up for the launch of our flagship clean-energy lifestyle products, COR and SOLIS, later this year. We have a robust list of catalysts ahead of us and look forward to the months ahead."

The company’s common stock will continue trading under the ticker WKSP with a new CUSIP number, 98139Q308. Stockholders will not receive fractional shares but will be rounded up to the nearest whole share. Information regarding post-split share ownership will be provided by the company’s transfer agent, VStock Transfer, LLC.

Worksport, through its subsidiaries, focuses on tonneau covers, solar integrations, portable power systems, and clean heating & cooling solutions. The company has an ongoing partnership with Hyundai for the SOLIS Solar cover and is positioning itself in the electric vehicle sector as well.

This reverse stock split is part of Worksport’s strategy for compliance with Nasdaq’s listing requirements and is based on a press release statement from the company.

In other recent news, Worksport Ltd. has made significant strides in both its product offerings and strategic partnerships. The company, through its subsidiary Terravis Energy, unveiled the AetherLux heat pump system, which can operate efficiently in extreme temperatures and features the innovative ZeroFrost technology to prevent ice buildup. This development comes as Worksport ramps up production of its AL4 tonneau cover, targeting the production of 1,200 units in the next 30 days to meet increasing demand. Additionally, Worksport has expanded its global patent portfolio by approximately 25% over the past year and joined the LOT Network to mitigate patent litigation risks.

The company also announced the upcoming launch of its HD3 tonneau cover, which is expected to enter production in Spring 2025. This is part of Worksport’s strategy to diversify its product mix and foster revenue growth. In parallel, Worksport is working on the SOLIS solar tonneau cover and the COR mobile power system, which are anticipated to tap into multi-billion-dollar markets. The company’s partnership with Hyundai for the SOLIS Solar cover further underscores its commitment to clean energy solutions. These developments reflect Worksport’s ongoing efforts to strengthen its market presence and align with the growing demand for sustainable automotive solutions.

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