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  • Professor Stefan Witte, Delft University of Technology

Grom Social Enterprises, Inc. Announces 1-for-20 Reverse Stock Split

BOCA RATON, Fla., Sept. 06, 2023 (GLOBE NEWSWIRE) -- Grom Social Enterprises, Inc. (NASDAQ: GROM) (the “Company”), a media, technology, and entertainment company dedicated to family-friendly programming, web filtering technology, and safe social media for kids, today announced that its Board of Directors has approved a 1-for-20 reverse stock split of its common shares (the “Reverse Split”) primarily to comply with Nasdaq’s minimum bid price requirement. The Reverse Split will be effective on September 7, 2023, and the Company’s common stock will trade on a post-split basis under the same symbol, GROM, commencing with the opening of trading on the Nasdaq Capital Market on September 7, 2023.

Following the effectiveness of the Reverse Split, the CUSIP number for the Company’s common stock will be 39878L 506. As a result of the Reverse Split, every 20 shares of common stock issued and outstanding will be exchanged for one new share of common stock. No fractional shares will be issued to any holder, and instead of issuing such fractional shares, the Company will round up such fractional shares to the nearest whole share. Immediately after the Reverse Split becomes effective, the Company will have approximately 452,219 shares of common stock issued and outstanding. Additionally, the exercise price per share of common stock subject to the Company’s warrants will be proportionately increased, such that the exercise price immediately following the Reverse Split will equal the product of twenty (20) and the exercise price immediately prior to the Reverse Split. The number of shares of common stock subject to warrants immediately following the Reverse Split will equal 1/20th (0.05 or 5%) of the number of shares of common stock subject to warrants immediately prior to the Reverse Split.

About Grom Social Enterprises, Inc.
Grom Social Enterprises, Inc. (NASDAQ: GROM) is an emerging social media platform and original content provider of entertainment for children under 13, which provides safe and secure digital environments for kids that can be monitored by their parents or guardians. The Company has several operating subsidiaries, including Grom Social, which delivers its content through mobile and desktop environments (web portal and apps) that entertain children and lets them interact with friends, access relevant news, and play proprietary games while teaching them about being good digital citizens, and Curiosity Ink Media, a global media company that develops, acquires, builds, grows, and maximizes the short-, mid- and long-term commercial potential of Kids & Family entertainment properties and associated business opportunities. The Company also owns and operates Top Draw Animation, which produces award-winning animation content for some of the largest international media companies in the world. The Company also includes Grom Educational Services, which provides web filtering for K-12 schools, government and private businesses. For more information, please visit https://gromsocial.com or for investor relations, please visit http://investors.gromsocial.com.

Forward-Looking Statements
This press release contains statements, which may constitute “forward-looking statements.” Those statements include statements regarding the intent, belief, or current expectations of the Company and members of its management team as well as the assumptions on which such statements are based. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that may cause actual results to differ from those anticipated are discussed throughout the Company’s reports filed with Securities and Exchange Commission which are available at www.sec.gov as well as the Company’s website at https://gromsocial.com. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.

Media Contact for Grom Social Enterprises, Inc.:
Paul Ward
+1-917-593-6066
Paul@gromsocial.com


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