Parks America shareholders approve reverse and forward stock splits

Published 12/03/2025, 21:40
Parks America shareholders approve reverse and forward stock splits

In a recent vote at the 2025 Annual Meeting of Stockholders, Parks America, Inc. shareholders approved several key proposals, including a reverse and forward stock split, and elected five directors to the board. The meeting, which took place on March 7, 2025, saw a quorum with approximately 52% of outstanding Common Stock represented. The company, currently valued at $30.65 million, maintains impressive gross profit margins of 86% according to InvestingPro data.

Shareholders elected Geoffrey Gannon, Ralph Molina, Andrew Kuhn, Jacob McDonough, and Matthew Hansen as directors, each to serve for a one-year term. The ratification of GBQ LLC as the company’s independent registered accountants for the fiscal year ending September 28, 2025, was also confirmed with a significant majority.

One of the most notable decisions was the approval of amendments to the company’s Amended and Restated Articles of Incorporation to effect a 1 for 500 reverse stock split of the company’s Common Stock immediately followed by a 5 for 1 forward stock split. This strategic move is often used by companies to adjust the number of shares in circulation and can potentially increase the stock’s per-share price. The stock has seen a -14.33% return over the past year, with InvestingPro analysis suggesting current overvaluation relative to its Fair Value. InvestingPro subscribers have access to 7 additional key insights about Parks America’s financial health and growth prospects.

Additionally, the non-binding vote on executive compensation passed, indicating shareholder support for the company’s leadership remuneration strategies.

The proposal to adjourn the Annual Meeting, if necessary, to ensure that any necessary supplement or amendment to the proxy statement is provided to shareholders or to solicit additional proxies in case of insufficient votes to approve Proposal 4, was also approved.

The results of the meeting, based on a press release statement, reflect the shareholders’ collective decisions on the direction of the company for the upcoming year. The information provided in this article is based on an SEC filing and is intended to present the facts without speculation or promotional language.

In other recent news, Parks America reported receiving a partial insurance payout of approximately $567,150 to cover legal expenses related to stockholder activism matters. This reimbursement addresses costs incurred from a contested proxy and associated activities, though the company still faces outstanding bills of around $365,000. Discussions with the insurance carrier are ongoing to potentially secure additional coverage for these unpaid expenses. Furthermore, Parks America has appointed Rebecca McGraw as its new Chief Financial Officer. McGraw, who previously held financial roles at Lands’ End, Inc. and General Beverage Sales Co., will receive an annual salary of $180,000, with the potential for a $20,000 bonus. Her appointment is based on an "at will" employment agreement, and she has no prior financial or familial ties with current company officers or directors. These developments were disclosed in the company’s recent SEC filings, providing investors with important updates on Parks America’s financial and leadership strategies.

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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