Tontitown-based carrier P.A.M. Transportation Services Inc. announced Tuesday (March 8) it will retire its existing treasury share holdings and offer a 2-for-1 forward stock split of its common stock.
The company’s nearly 12.3 million treasury shares will be retired immediately, according to a news release. The stock split will be in the form of a 100% stock dividend and is payable on March 29 to shareholders of record on March 18.
Shareholders will receive a dividend of one share for every share held on the record date, the release shows. The dividend will be paid in authorized but unissued shares of the company’s common stock. The additional shares will be distributed by the company’s transfer agent, Computershare, and the per share price of the company’s common stock will adjust according to the Nasdaq Stock Market.
The company expects trading will start on a split-adjusted basis on March 30. The company has about 11.1 million shares of common stock. After the stock split, the number of common stock shares will rise to about 22.2 million.
“We are pleased that the Board of Directors has approved a second stock split in less than a year, which demonstrates their confidence in our long-term potential,” President Joe Vitiritto said. “With this split, we will be able to further increase the availability of our stock and enhance our liquidity within the marketplace.”
Shares of P.A.M. (NASDAQ: PTSI) were trading Wednesday (March 9) at $68.89, up $4.86 or 7.59%. In the past 52 weeks, the stock has ranged between $25.89 and $81.77.