Update: Intellectual Ventures has acquired Transmeta Patent Portfolio on Jan. 28, 2009
SANTA CLARA, CA. - Aug. 15, 2007 - Transmeta Corporation (NASDAQ: TMTA) today announced that its Board of Directors has approved a reverse split of Transmeta's common stock at a ratio of one-for-20 shares, to take effect on Friday, August 17, 2007.
At its annual meeting of stockholders held on July 31, 2007, Transmeta received stockholder approval of a proposal authorizing the Transmeta Board of Directors, in its discretion, to effect a reverse split of Transmeta's common stock, at a ratio within the range from one-for-10 to one-for-40 shares, together with a corresponding reduction in the number of authorized shares of Transmeta's capital stock, at any time prior to July 31, 2008.
The reverse stock split will be effective at 8:00 a.m., Eastern Time, on August 17, 2007. Transmeta's common stock will begin trading at that time on a reverse split basis under the symbol "TMTAD," for a period of 20 trading days. Thereafter, it will resume trading under the Company's original symbol "TMTA."
The reverse split will reduce the number of outstanding shares of Transmeta's common stock from approximately 200 million shares to approximately 10 million shares. No fractional shares will be issued in connection with the reverse stock split. Cash will be issued in lieu of fractional shares. The exercise price and the number of shares of common stock issuable under the Company's outstanding warrants and options will be proportionately adjusted to reflect the reverse stock split. The number of shares issuable upon conversion of Transmeta's Series B preferred stock and issuable under the Company's equity incentive plans will be proportionately reduced to reflect the reverse stock split. Additional information about the reverse stock split is available in Transmeta's definitive proxy statement filed with the Securities and Exchange Commission on June 29, 2007.
Existing stockholders holding Transmeta common stock certificates will receive a Letter of Transmittal from the Company's transfer agent, with specific instructions regarding the exchange of shares. Mellon Investor Services LLC is Transmeta's transfer agent and will act as the exchange agent for the purpose of implementing the exchange of stock certificates in connection with the reverse split.
About Transmeta Corporation
Transmeta Corporation develops and licenses innovative computing, microprocessor and semiconductor technologies and related intellectual property. Founded in 1995, we first became known for designing, developing and selling our highly efficient x86-compatible software-based microprocessors, which deliver a balance of low power consumption, high performance, low cost and small size suited for diverse computing platforms. We are presently focused on developing and licensing our advanced power management technologies for controlling leakage and increasing power efficiency in semiconductor and computing devices, and in licensing our computing and microprocessor technologies to other companies. To learn more about Transmeta, visit www.transmeta.com.