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Akoustis adjourns stockholder meeting for lack of quorum

EditorLina Guerrero
Published 21/11/2024, 22:50
AKTS
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HUNTERSVILLE, NC – Akoustis Technologies, Inc. (NASDAQ:AKTS), a manufacturer of patented bulk acoustic wave (BAW) high-band RF filters for mobile and other wireless applications, announced today that its 2024 Annual Meeting of Stockholders, originally scheduled for today, has been adjourned to December 12, 2024, due to the absence of a quorum.

The meeting's adjournment is intended to provide additional time for stockholders to vote on the proposals outlined in the company's proxy statement. The record date for determining stockholders eligible to vote remains September 24, 2024. Stockholders who have already voted do not need to cast their votes again unless they decide to change their vote.

The company is actively soliciting additional votes from its stockholders and has employed the services of Kingsdale Advisors to assist in achieving the required quorum. The quorum necessary for the meeting is a majority of the outstanding shares entitled to vote.

Akoustis Technologies has not made any changes to the proposals to be voted on at the Annual Meeting. Stockholders can cast their votes online at http://www.proxyvote.com before the reconvened meeting, or during the meeting at http://www.virtualshareholdermeeting.com/AKTS2024, or by calling 1-800-690-6903.

In other recent news, Akoustis Technologies has been navigating through a series of significant developments. The company reported a 7% increase in Q3 FY2024 revenues, totaling $7.5 million, and secured multiple orders for its high-band RF filters, including a $13 million order for XBAW® filters for Wi-Fi Access Points. However, Akoustis has also been grappling with legal challenges, having been found liable for trade secret misappropriation and patent infringement. Damages awarded to rival Qorvo Inc (NASDAQ:QRVO). total approximately $38.6 million, with an additional $11.7 million in attorneys' fees.

Akoustis Technologies is also at risk of being delisted from the Nasdaq Capital Market due to non-compliance with the minimum stockholders’ equity requirement and the minimum bid price requirement. However, the company has received an extension from the Nasdaq Hearings Panel to continue its listing, contingent on the company demonstrating compliance by specific deadlines.

In response to these challenges, Akoustis has proposed a reverse stock split, pending stockholder approval, and launched a direct stock offering of 50 million shares, managed by Roth Capital Partners (WA:CPAP). On the leadership front, Akoustis has appointed Kamran Cheema as its new Chief Executive Officer and board member. B.Riley has maintained a Neutral rating for Akoustis Technologies in light of these recent developments.

InvestingPro Insights

As Akoustis Technologies (NASDAQ:AKTS) navigates the adjournment of its Annual Meeting, investors might benefit from additional context provided by InvestingPro data. The company's market capitalization stands at a modest $16.03 million, reflecting its current position in the competitive RF filter market.

InvestingPro Tips highlight that AKTS is "quickly burning through cash" and "operates with a significant debt burden," which may explain the heightened importance of the upcoming stockholder meeting and the decisions to be made there. These financial pressures are further underscored by the fact that the company's "short term obligations exceed liquid assets," a situation that stockholders will likely want to address.

On a more positive note, analysts anticipate sales growth for AKTS in the current year, which could provide some optimism for investors considering the company's future prospects. The stock has also shown a "significant return over the last week," with a 62.8% price increase, possibly indicating renewed investor interest ahead of the rescheduled meeting.

For those seeking a deeper understanding of Akoustis Technologies' financial situation, InvestingPro offers 16 additional tips that could prove valuable in assessing the company's outlook and the potential impact of the upcoming stockholder decisions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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