COPPELL, Texas--(EON: Enhanced Online News)--Universal Power Group, Inc. (NYSE MKT: UPG), a Texas-based distributor and supplier of batteries and related power accessories, and a third-party logistics provider, today announced that its board of directors has determined to voluntarily delist the Company’s common stock from the NYSE MKT and voluntarily deregister from the reporting requirements of the Securities Exchange Act of 1934, as amended (“Exchange Act”).
“As such we believe that the annual cost savings and other benefits outweigh the benefits of being a listed company and that these actions are in the best interests of the Company and its stockholders.”
In order to accomplish this, the Company expects to file on or about October 31, 2013 a Form 25 with the NYSE MKT and the Securities and Exchange Commission (the “SEC”) to voluntarily delist its common stock from the NYSE MKT. Thereafter, the Company expects to deregister the Company’s common stock from Section 12 of the Exchange Act and to suspend the Company’s reporting obligations under the Exchange Act. The Company is eligible to suspend these reporting obligations because it has less than 300 shareholders of record.
It is expected that delisting will take effect on November 11, 2013, and at that time the Company’s shares will no longer be traded on the NYSE MKT. Upon termination of the registration of its common stock, the company's securities will not be eligible for trading on any national exchange or the OTC Bulletin Board.
Ian Edmonds, CEO of the Company, stated that: “The Company’s board of directors unanimously approved the delisting and deregistration of our common stock after careful consideration of the advantages and disadvantages of continuing our SEC reporting obligations. This is a positive change for UPG, in that suspending these obligations will allow the Company to eliminate the substantial expenses associated with SEC reporting and compliance and reinvest those resources elsewhere in the business. It will allow management to focus more of its time and effort on improving business performance and enhancing shareholder value.
“Remaining an SEC-reporting company would require us to continue to incur significant costs associated with regulatory compliance,” Edmonds added. “As such we believe that the annual cost savings and other benefits outweigh the benefits of being a listed company and that these actions are in the best interests of the Company and its stockholders.”
About Universal Power Group, Inc.
Universal Power Group, Inc. (NYSE MKT: UPG) is a leading supplier and distributor of batteries and power accessories, and a provider of supply chain and other value-added services. UPG's product offerings include proprietary brands of industrial and consumer batteries of all chemistries, chargers, power accessories, solar products, wire and cable and security products. UPG's supply chain services include procurement, warehousing, inventory management, distribution, fulfillment and value-added services such as sourcing, battery pack assembly and coordinating battery recycling efforts, as well as product development. For more information, please visit the UPG website at www.upgi.com.
Statements in this press release that are not statements of historical or current fact constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other unknown factors that could cause the Company's actual operating results to be materially different from any historical results or from any future results expressed or implied by such forward-looking statements. In addition to statements that explicitly describe these risks and uncertainties, readers are urged to consider statements that contain terms such as "believes," "belief," "expects," "expect," "intends," "intend," "anticipate," "anticipates," "plans," "plan," to be uncertain and forward-looking. The forward-looking statements contained herein are also subject generally to other risks and uncertainties described from time to time in the Company's filings with the Securities and Exchange Commission. Historical financial results are not necessarily indicative of future performance.