New Concept Energy, Inc. (NYSE American:GBR), a Dallas-based company in the crude petroleum and natural gas sector, announced on Monday that its Annual Meeting of Stockholders, initially scheduled for December 4, 2024, has been adjourned due to the lack of a quorum.
According to InvestingPro data, the company currently shows a weak financial health score of 1.67, with negative EBITDA of $0.25 million in the last twelve months. The meeting was convened to elect directors and ratify the appointment of the company's independent registered public accounting firm.
The company, formerly known as CabelTel International Corp, Greenbriar Corp, and Medical (TASE:PMCN) Resource Companies of America, reported that the number of properly executed and valid proxies received prior to the meeting was insufficient to meet the quorum requirement. A quorum is defined as the presence, either in person or by proxy, of stockholders entitled to cast a minimum of 2,566,247 votes.
As of the record date of October 28, 2024, there were 5,131,934 shares of Common Stock and 559 shares of Series B Preferred Stock outstanding, each entitled to one vote. The Chair of the meeting decided to recess the Annual Meeting until December 19, 2024, at 10:30 a.m., in hopes of achieving the necessary quorum through additional proxy solicitation.
InvestingPro analysis reveals that while the stock has declined by 26% over the past six months, it maintains a strong current ratio of 7.48, indicating solid short-term liquidity. Subscribers can access 4 additional key ProTips and comprehensive financial metrics.
During the recess, New Concept Energy's management and Board of Directors will undertake efforts to secure additional proxies to reach the required number for quorum.
The adjournment highlights the importance of shareholder participation in corporate governance and the challenges companies can face in mobilizing stockholder votes, particularly for smaller companies with revenue of just $0.15 million in the last twelve months.
This development is based on information contained in a Form 8-K filing with the Securities and Exchange Commission as of the filing date of December 9, 2024.
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