Helios & Matheson- Moviepass Parent has officially cancelled their plans for another reverse split of the stock. In the filing they state the reason straightforwardly as “not enough votes” to pass the resolution.
HMNY has already been delisted from the Nasdaq, with relatively little impact on the stock as a result. It now trades above 1 cent which does provide some benefit as to the OTC listing. Although that is limited.
My take, this is probably positive for the stock. With Farnsworth still at the helm of HMNY, the risk of further serious dilution of the stock was very significant with any new reverse split. That risk is not gone, but it’s off the table for a while now.
In other news, social media users are reporting good movie availability in the Moviepass app, other than legacy users who seem to still have some pretty serious inventory issues. Those are mostly Costco yearly subscriptions that the company has seeming left behind.
On Facebook I have seen improvements in sentiment.
Still many hurdles to overcome, but the company and service seem to be stabilizing.