Precise Biometrics to vote on reverse share split and new issuances at AGM
Precise Biometrics will vote on proposals to declare no dividend for fiscal 2018, and to reverse a previous share split among several corporate housekeeping items when it holds its annual general meeting on May 15, 2019.
The board is proposing that more than SEK 92.4 million (US$10 million) in funds for disposal held by its parent company be carried forward, with no dividend issued following the operating losses of 2018.
Security specialist and author Åsa Schwarz is expected to be elected to Precise’ five-person board, after Anna Almlöf and Matts Lilja declined to continue their roles. The Board of Directors is also proposing to tie remuneration for the company’s management to market performance to provide short- and long-term incentive.
Shareholders will consider a proposal to allow the board to issue shares or convertible bonds which may deviate from shareholder’s preferential subscription rights, worth up to 10 percent of the registered share capital, to strengthen Precise Biometrics’ capital base. The funds could be used for company acquisitions or strategic investments, and to obtain capital for other strategically important considerations. The company also plans to reverse a 1:10 share split, with the articles of association amended to cap the shares available between 20 million and 80 million, compared to the range of 100 million to 400 million currently authorized. The proposal would increase the shares’ value from SEK 0.03 to approximately SEK 0.3.
In its annual report, released late in March, Precise Biometrics set out its plan to shift toward services that unify biometric modalities for digital identification.