TranSwitch Sets Reverse Split

TranSwitch announces one-for-eight reverse stock split

November 23, 2009

1 Min Read

SHELTON, Conn. -- TranSwitch® Corporation (NASDAQ: TXCC - News), a leading provider of semiconductor solutions for the converging data, video and voice wireline and wireless networks, announced today that a previously approved reverse split of its common stock will take effect at 11:59 p.m. (Eastern Time) today (the "Effective Time") and be reflected in the market at the start of NASDAQ trading on Tuesday, November 24, 2009 on a 1-for-8 split-adjusted basis. The Company’s shares will continue to trade on the NASDAQ Capital Market under the symbol "TXCC," with the letter "D" added to the end of the trading symbol commencing on November 24, 2009 for a period of 20 trading days to indicate the reverse stock split has occurred. The Company's symbol will revert back to its original symbol "TXCC" on December 22, 2009. A new CUSIP number will be assigned to the Company’s common stock when the split becomes effective.

The reverse stock split has been implemented in part to enable the Company to reestablish compliance with NASDAQ Marketplace Rule 5450(a)(2), requiring a $1 minimum closing bid price. The Company received a NASDAQ Staff determination letter dated November 9, 2009, notifying the Company that it has not complied with NASDAQ Marketplace Rule 5550(a)(2). The Company requested an appeal of NASDAQ’s determination, pursuant to the procedures set forth in the NASDAQ Marketplace Rule 5800 Series. A hearing request will stay the delisting of TranSwitch’s securities pending the Panel's decision. The Company believes that the implementation of the reverse stock split will provide the Company with the opportunity to be in compliance with the Marketplace Rule by early December.

TranSwitch Corp. (Nasdaq: TXCC)

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