CHICO, CA / ACCESSWIRE / September 30, 2020 / AmeraMex International, Inc. (OTCQB:AMMX), a provider of heavy equipment for logistics companies, infrastructure construction and forestry conservation, announced that on September 9, 2020, the Company's board of directors voted to initiate a 50:1 reverse split of its issued and outstanding shares of common stock subject to obtaining stockholder approval.
On September 29, 2020, the majority of shareholders approved the Action and Articles of Amendment by written consent in lieu of a shareholder meeting. That Action and the Articles of Amendment will become effective when the Company files the Articles of Amendment with the Secretary of State of Nevada. The Articles of Amendment will not be filed, and the Action will not become effective, until the date that is at least 20 days after the Information Statement is first mailed or otherwise delivered to the Company's Stockholders. This Information Statement is being mailed to the Stockholders of record upon approval by the SEC. The SEC has 30 days to approve the proposed reverse split.
CEO Lee Hamre commented, "We have met with several fund managers, investment banking groups and home office investment companies. The first thing they indicated is that AmeraMex is one of the few companies trading under a $1 that has sales and, apart from a few instances, is profitable. Management was encouraged by each of these organizations to significantly reduce the number of shares issued and outstanding.
"They all felt that with approximately 754 million shares outstanding, the Company would have difficulty attracting new shareholders and the board agreed. Management felt that the time to affect the reverse split is now as we are initiating a major corporate market awareness campaign with a well-known New York investment banking firm and will be reporting a great third quarter, which ends today. Additionally, the fourth quarter is shaping up to be another excellent quarter."
Hamre continued, "This was a difficult decision to make and we know some shareholders will be disappointed. Management and the board of directors feel that, in the long run, the decision is being made for the right reasons and, going forward, our Company and its shareholders will benefit from this action."
About AmeraMex International
AmeraMex International sells, leases, and rents new and refurbished heavy equipment to companies within multiple industries including construction, forestry conservation, logistics, mining, and lumber. AmeraMex, with a US and international customer base, has over 30 years of experience in heavy equipment sales and service. Follow AmeraMex on Twitter @ammx_intl and visit the AmeraMex website, www.AMMX.net or www.hamreequipment.com for additional corporate information, online heavy equipment inventory/ pricing and videos.
This press release contains forward-looking statements. All statements other than statements of historical facts included in this press release are forward-looking statements. In some cases, forward-looking statements can be identified by words such as "believe," "expect," "anticipate," "plan," "potential," "continue" or similar expressions. Such forward-looking statements include risks and uncertainties, and there are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. Investors are encouraged to review the Company's filings with the Securities and Exchange Commission. Investors should not place any undue reliance on forward-looking statements since they involve known and unknown, uncertainties and other factors which are, in some cases, beyond the Company's control which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects the Company's current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to operations, results of operations, growth strategy and liquidity. The Company assumes no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
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SOURCE: AmeraMex International, Inc.