Moving iMage Technologies reissues options at lower price

In a recent filing with the Securities and Exchange Commission, Moving iMage Technologies, Inc. (MITQ), a micro-cap company with a market value of $5.45 million, announced a significant adjustment to the stock options previously granted to its directors and Chief Financial Officer. According to InvestingPro analysis, the company currently trades below its Fair Value, suggesting potential upside opportunity despite recent challenges. On Monday, the Board of Directors of the company, which specializes in photographic equipment and supplies, decided to cancel the 250,000 share options that were issued on May 23, 2023, at $1.10 per share.

The cancelled options included 50,000 each to Directors Katherine Crothall, Scott Anderson, and John Stiska, and 100,000 options to CFO William Greene. In place of the cancelled options, the Board reissued the same number of options at the reduced exercise price of $0.65 per share.

Additionally, the Board took action on the compensation for its outside directors. Each outside director, who had previously been granted either 10,000 shares of the company’s stock or options for 10,000 shares at $1.10 per share on May 26, 2023, saw these shares or options re-priced to $0.65 per share as of Monday.

The adjustment in option pricing comes as the latest corporate action reported by the Fountain Valley, California-based company, which is listed on the NYSE American LLC under the trading symbol NYSEAMERICAN:MITQ. The company’s fiscal year ends on June 30, and it is incorporated in the state of Delaware.

The specific reasons for the repricing of the options were not detailed in the SEC filing. However, such actions are often taken in response to changes in stock market conditions or company performance, aligning the interests of directors and officers with those of shareholders. InvestingPro data reveals that MITQ maintains a healthy liquidity position with a current ratio of 2.21, though it faces profitability challenges with a gross profit margin of 23.3%. For deeper insights into MITQ’s financial health and growth prospects, investors can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers.

The information provided in this article is based on a press release statement from Moving iMage Technologies, Inc. and reflects the company’s corporate governance decisions as they pertain to executive compensation and director remuneration. For a complete analysis of MITQ’s financial health, valuation metrics, and growth potential, investors can explore additional insights through InvestingPro, which offers exclusive access to detailed financial metrics and expert analysis covering over 1,400 US stocks.

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