WEST MELBOURNE, FL / March 11, 2019 / BK Technologies, Inc. (NYSE American: BKTI) today announced that its Board of Directors has approved the implementation of a holding company reorganization, which is expected to be completed on or around March 28, 2019. The reorganization will create a new holding company, BK Technologies Corporation, that will become the new parent company of BK Technologies, Inc.
The holding company reorganization is intended to create a more efficient corporate structure and increase operational flexibility, and is not being implemented in connection with any particular corporate transaction. No material operational or financial impacts are expected.
The holding company reorganization will be effected through a merger transaction among the Company and certain of its subsidiaries that is intended to be a tax-free transaction for U.S. federal income tax purposes for the Company’s stockholders. No stockholder vote of the Company will be required to effect the merger transaction.
In the holding company reorganization, the Company’s current stockholders will automatically become stockholders of BK Technologies Corporation, on a one-for-one basis, with the same number of share and same ownership percentage of the Company’s common stock that they held immediately prior to the holding company reorganization. Following the reorganization, BK Technologies Corporation will replace BK Technologies, Inc. as the publicly traded entity and shares of BK Technologies Corporation will be listed on the NYSE American under the symbol “BKTI,” which is the same symbol currently used for the Company’s common stock. In addition, the common stock of BK Technologies Corporation will be assigned a new CUSIP Number: 05587G 104.
The holding company will have the same directors and executive officers as the Company.
About BK Technologies, Inc.
As an American manufacturer for over 70 years, the Company is deeply rooted in the public safety communications industry, manufacturing high-specification communications equipment of unsurpassed reliability and value for use by public safety professionals and government agencies. Advances include a broad new line of leading digital two-way radios compliant with APCO Project 25 specifications. The Company’s products are manufactured and distributed worldwide under BK Radio and RELM brand names. The Company maintains its headquarters in West Melbourne, Florida, and can be contacted through its web site at www.bktechnologies.com or directly at 1-800-821-2900.