LONDON, Sept. 14 /CNW/ - The Board of Petel Incorporated (Pink Sheets:
PTEL.pk) today confirms a 1-for-10 reverse stock split. The reverse stock
split will be effective Monday 17th September 2007. The new trading symbol,
also effective Monday 17th September will be PTEI.pk
The reverse stock split follows the completion of the sale of Medify
Solutions Limited, and is the final step in cleanly and completely separating
the two companies and the associated history. It is the view of the Board that
the reverse stock split will better reflect the ongoing progression of the
CEO David Morton comments "We have today announced that a reverse stock
split will be enacted. Whilst we realise that a reverse stock split may
initially not be popular, it is important for the Company to make this move.
The massive overuse of 504 funding options by the last incumbent CEO has left
the Company with a huge number of cheap shares on the market, and these
continue to have an ongoing negative impact. The reverse stock split will
result in a share price and float that better reflects the position of Petel
Incorporated, our products and our future plans. The reverse stock split will
be applied to ALL shares. We feel our shareholders will recognise the value in
the decision to perform a reverse stock split and the benefits of tidying up
the mess left by the CEO before Petel Incorporated took over the shell."
This news release contains forward-looking statements that are subject to
certain risks and uncertainties that may cause actual results to differ
materially from those projected on the basis of such forward-looking
statements. The words "estimate," "project," "intends," "expects," "believes,"
and similar expressions are intended to identify forward-looking statements.
Such forward-looking statements are made based on management's beliefs, as
well as assumptions made by, and information currently available to,
management pursuant to the "safe-harbour" provisions of the Private Securities
Litigation Reform Act of 1995. For a more complete description of these and
other risk factors that may affect the future performance of Petel, Inc. see
"Risk Factors" in the Company's Annual Report on Form 10-KSB and its other
filings with the Securities and Exchange Commission. Readers are cautioned not
to place undue reliance on these forward-looking statements, which speak only
as of the date made and the Company undertakes no obligation to disclose any
revision to these forward-looking statements to reflect events or
circumstances after the date made or to reflect the occurrence of
For an in-depth overview of Petel Incorporated please view the Petel
Incorporated Corporate Overview PDF.
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For further information: Petel Incorporated, Investor Relations,