iBasis, Inc. (OTCBB: IBAS), a leader in international long distance, VoIP, and prepaid calling cards, today announced that its Board of Directors has chosen not to effect a reverse stock split of the Company’s common stock.
The Board received authorization to effect a reverse stock split during a special meeting of shareholders on February 18, 2004. The Company continues to believe that trading on a major national exchange rather than the OTC Bulletin Board would provide a broader market for the Company’s common stock and facilitate the use of the Company’s common stock in financing transactions. The Company believes it can accomplish this by focusing on continued execution of its business plan and growing investor confidence. «Relisting on a major exchange remains an important goal,» said Ofer Gneezy, president and CEO of iBasis. «We recently achieved our fourth consecutive quarter of growth and refinanced our debt, extending the maturity dates significantly and creating the very real potential to convert all of our debt to equity, which would eliminate the debt and interest payments entirely. We believe that we are on a path to achieve relisting in due course without having to execute a reverse split.»