Select the share classes subject to the stock split.
Provide details of the stock split.
Configure the split ratio for the selected share classes.
Upload any documents related to the stock split.
Note: Uploading documents is optional and can be added later.Once completed, you’ll land on a draft page for your stock splits where you can review and publish.
You will be prompted in the stock split publishing step to select whether to notify stakeholder based on the type of securities they hold. If you are issuing certificated shares in connection with the split, company signatories will be notified to sign new certificates.
What happens to share certificates when the split is recorded?
Outstanding share certificates will be cancelled and new certificates will be created with the post-split share number. Share certificates that were already cancelled as of the date of the split will not be affected.
What happens to options when the split is recorded?
Outstanding options will be updated to reflect the stock split. Both the total underlying shares and the exercise price will be updated based on the split ratio. Options that were already cancelled as of the date of the split will not be affected.
What happens to equity plans when the split is recorded?
Each security outstanding under the plan will be updated according to the way the type of security is handled in the split. The total shares authorized under the plan will be adjusted by applying the terms of the split to the authorized but unissued shares and outstanding shares as of the time of the split. The total shares authorized for issuance under the plan will be updated accordingly. For example if an equity plan had 500,000 shares authorized pre-split, 250,000 shares outstanding pre-split and the split was a 2:1 forward split, the plan post-split would be updated to reflect 500,000 shares available, 500,000 shares outstanding and 1M shares authorized.
What happens to share classes when the split is recorded?
Any increase or decrease to the authorized number of shares in a share class is based on the specific share authorization value entered in connection with a split (if any). Share class attributes that are impacted by the split based on their terms will be updated based on the split ratio.
How are non-whole security numbers rounded in the split?
When you set up a split, you are prompted to select whether the split should round share numbers down, up or to the closest whole number. You can customize post-split values for specific securities using the stock split review tool in the stock split workflow.
