Inspire Veterinary Partners : Modification to Rights of Security Holders - Form 8-K

On April 15, 2024, the board of directors of Inspire Veterinary Partners, Inc. (INSPIRE) made a significant decision that will affect the company's stockholders. The board approved a reverse stock split of INSPIRE's authorized and issued and outstanding shares of Class A common stock at a ratio of 100-for-1. This means that for every 100 shares of Class A common stock that a stockholder previously owned, they will now own one share with increased par value.

The reverse stock split is a corporate action taken by a company to reduce the number of its outstanding shares while maintaining the same total value of shares outstanding. The primary reason for a reverse stock split is to raise the market price per share above a certain threshold to meet the minimum price requirement for listing on a stock exchange or to make the stock more attractive to institutional investors.

The par value of INSPIRE's Class A common stock was previously set at $0.0001 per share. After the reverse stock split, the new par value will be determined by dividing the old par value by the reverse split ratio. In this case, the new par value will be $0.0001 / 100 = $0.000001 per share. However, it is important to note that the par value is not an accurate reflection of a stock's true value and is instead a historical accounting concept.

The reverse stock split will not change the total number of shares that INSPIRE has issued and outstanding or the total value of those shares. It will only affect the number of shares each stockholder owns and the price per share.

The effective date of the reverse stock split will be determined by INSPIRE and will be announced in a subsequent filing with the Securities and Exchange Commission (SEC). Stockholders of record as of the effective date will receive the adjusted number of shares and the adjusted certificates or book entry accounts will reflect the new share balance.

It is important for stockholders to note that they may incur additional costs associated with the reverse stock split, such as fees for obtaining new certificates or amending their book entry accounts. Stockholders with questions regarding the reverse stock split should contact INSPIRE's transfer agent for more information.

Inspire Veterinary Partners, Inc. is a veterinary services company that provides specialty and emergency veterinary care through its network of hospitals and clinics. The company's stock is traded on the NASDAQ Global Market under the symbol "INSP."

The reverse stock split is a significant event for INSPIRE's stockholders and may impact their investment decisions. Stockholders should carefully consider the implications of the reverse stock split and consult with their financial advisors before making any investment decisions.