Motorola to seek reverse stock split

Motorola Inc. (MOT) reported late last week that it will hold a stockholders meeting on Nov. 29 to vote on a reverse stock split. The company said the proposal will call for a split ranging from one for every three up to one for every seven shares and will impact the Motorola Solutions operations that is being created from the spinoff of Motorola’s mobility division.
Motorola’s Mobility division will include the company’s device and set-top box operations, with the remaining assets, including mobile infrastructure, to be included in the Mobile Solutions business.
Motorola’s board of directors said the reverse stock split is “likely to improve the marketability and liquidity of Motorola Solutions common stock.”
If approved, the reverse split would be implemented during the first quarter of next year following the official separation of Motorola into the two divisions.
It was reported earlier this year that Motorola was looking to buy back most of its debt and fund its Mobility division with up to $4 billion.