Company: MFON
Filing Date: 2025-09-09
Form Type: PRER14A
Source: 0001140361-25-034415
Chunk: 39

Company: MOBIVITY HOLDINGS CORP.
Filing Date: 2025-09-09
Form: PRER14A
Chunk 39
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 savings for the Company resulting from the Reverse Stock Split, which will benefit Continuing Stockholders, and the opportunity in the Reverse Stock Split for stockholders to exit their positions in the Company, an opportunity which is nearly impossible given the low trading volume in the open market, which will benefit the Cashed Out Stockholders. The Special Committee did not receive a report, opinion, or appraisal from an outside party regarding the fairness from a financial point of view, to the Cashed Out Stockholders, of the Cash Payment to be received by such stockholders in the Reverse Stock Split. The discussion below is not meant to be exhaustive, but we believe it addresses all material factors considered by the Special Committee in its deliberations and determinations.

Opportunity to Liquidate Shares of Common Stock . The Special Committee considered the opportunity the Reverse Stock Split presents for stockholders owning fewer than 25,000 shares in any one account to liquidate their holdings, without incurring brokerage costs.

Limited Liquidity for the Company’s Common Stock . The Special Committee noted that the trading volume in our common stock has been, and continues to be, extremely limited. The average daily trading volume of the stock from January 1, 2025, to June 30, 2025 (the trading day prior to the announcement of the approval of the Reverse Stock Split by the Company) was approximately 2,838 shares per day, and during that period there were 122 trading days on which our common stock did not trade at all. Accordingly, the Reverse Stock Split provides a substantial number of our record holders and beneficial holders with the opportunity to obtain cash for their shares in a relatively limited trading market and at a premium over the closing price of our common stock at the time of our announcement of the Reverse Stock Split.

Historical Prices . With respect to the Cash Payment, the Special Committee relied upon, among other things, the determination of the range of fair values per pre-split share. The Special Committee determined that $0.29 per pre-split share would fair based on historical trading ranges.

Going Concern Value . The Special Committee noted that the Company has incurred net losses from operations resulting in an accumulated deficit of $(140,193,506) as of December 31, 2024, and that further losses are anticipated in the development of the Company’s business, raising substantial doubt about the Company’s ability to continue as a going concern. It also considered how the Company’s ability to continue as a going concern is dependent upon the Company generating profitable operations in the future and/or obtaining