Bed Bath & Beyond will meet with shareholders to consider a reverse stock split.
The move is intended to boost investor interest in the company as it continues pursuing its turnaround strategy to avoid bankruptcy.
Reverse stock splits can raise a company's share prices by consolidating its existing quantity of shares into a smaller quantity.
- The split could raise money by boosting the price of shares or result in a loss of value for shareholders if the share price fails to increase.
- Bed Bath & Beyond faces imminent removal from the S&P 600 index after news of the stock split caused share prices to fall further.
- The company has raised $360M of the $1B it plans to raise to finance its path away from bankruptcy.
