I sure am glad I don't own any HTEC: Thursday October 15, 8:02 am Eastern Time
Company Press Release
SOURCE: Hydron Technologies, Inc.
Hydron Technologies, Inc. Announces
Reverse Stock Split, Board Changes
BOCA RATON, Fla., Oct. 15 /PRNewswire/ -- Hydron Technologies, Inc. (''HyTech'') (Nasdaq:
HTEC - news) announced that its shareholders approved a 1:5 reverse stock split, effective today,
decreasing the number of HyTech's shares of common stock to approximately 4,960,000 issued and
4,910,000 outstanding. The reverse split has no effect on either the rights and preferences of the
shares, or on the number of authorized shares, which remains at 30,000,000.
According to Richard Banakus, HyTech's interim president, the company's decision to reduce its
public float was based on management's desire to make the shares more attractive as an investment
and more useful as a tool for acquiring assets. The decision to effect a reverse split was precipitated
by changes in the Nasdaq National Market listing qualifications which made the company a
candidate for de-listing, because its bid price is below one dollar. Notwithstanding the reverse split,
due to current market conditions and other factors, HyTech management does not expect the shares
to trade above the requirement to remain listed on the Nasdaq National Market. Accordingly,
management expects the company's shares to be de-listed shortly and to subsequently trade on the
OTC Bulletin Board.
Banakus noted that ''HyTech's shares are currently trading below the company's book value of
$0.29 per share, or $1.45 per share post-split. Although we anticipate declining revenues for the
second half of 1998, we are taking aggressive actions to pursue top line growth, and will make every
effort to regain Nasdaq National Market listing status in the future.''
HyTech's shareholders also recently re-elected five members to the company's board of directors,
following the board's decision to reduce the number of directors from nine to five. Re-elected to the
board were Richard Banakus, chairman; Mark Egide, founder and president of Avalon Natural
Products, Inc.; Karen Gray, a marketing consultant; Charles Johnston, a private investor; and
Richard Tauman, an executive vice president of HyTech.
In addition, HyTech announced the appointment of Robert T. Austen as the company's new chief
operating officer and executive vice president. Mr. Austen was previously a marketing executive with
Beiersdorf, Inc., a global leader in skin and wound care with major brands including Nivea(R),
Nivea Visage(R), Eucerin(R) and Curad(R). Prior to Beiersdorf, Mr. Austen was a marketing
executive with Chesebrough-Ponds, responsible for managing such skin care brands as Vaseline
Intensive Care(R) and Rave(R) hair styling products.
''Hydron has an outstanding skin care technology,'' said Mr. Austen. ''We intend to build our
electronic retailing business and bring our technology to a broader consumer market by entering
additional distribution channels.''
HyTech develops a broad range of cosmetic products for skin care, hair care, bath and body, as
well as topical over-the-counter pharmaceutical products, based on its proprietary and patented
Hydron(R) polymer technology. The company markets its products primarily through direct
response television and catalog.
All of the expectations and assumptions contained in the foregoing are forward-looking statements
involving risks and uncertainties. For additional information regarding the risks associated with
HyTech's business, refer to the company's reports filed with the Securities and Exchange
Commission.
SOURCE: Hydron Technologies, Inc. |
