XELA Stock Price Increased By 154.48%: Why It Happened

By Amit Chowdhry ● January 26, 2021
  • The stock price of Exela Technologies Inc (NASDAQ: XELA) has increased by 159.48% as it went from a previous close of $1.03 to $2.62 yesterday. This is why it happened.

The stock price of Exela Technologies Inc (NASDAQ: XELA) — a location-agnostic global business process automation (BPA) leader — has increased by 159.48% as it went from a previous close of $1.03 to $2.62 yesterday.

Investors were responding to the company announcing that its Board of Directors has approved a 1-for-3 reverse stock split of the Company’s common stock, which will be effective at 5:00 p.m. Eastern Time on Monday, January 25, 2021.

Exela’s Board of Directors had approved the split and determined the 1-for-3 ratio to be appropriate to meet Exela’s goals of improving the marketability and liquidity of its common stock, compliance with Nasdaq listing requirements, and continued focus by the company’s management team on the initiatives underway to strengthen its balance sheet.

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.