Motorsport Games up after announcing restructuring plans

Motorsport Games

08/09/2022 14:39

** Shares of game developer Motorsport Games  MSGM.O  up ~3%
at $0.74 at the opening bell 
    ** MSGM announces a 2022 Restructuring Plan, under which co
expects to cut approx 20% of its overhead costs worldwide;
program expected to deliver approx $4 mln of annualized cost
reductions by end of 2023
    ** Plan includes layoffs to streamline its new
organizational structure, taking a charge between $0.1 mln-$0.3
mln to be paid in 2022, balance in 2023
    ** Co also announces a 1-for-10 reverse stock split during
Q4; decision approved by co's board of directors  urn:newsml:reuters.com:*:nGNXbvN0GY
    ** Of the four brokerages covering the stock, one rates
"buy", rest going for "hold"; their median PT is $2.50
    ** Stock is down ~78% YTD

 (Reporting by Shashwat Chauhan in Bengaluru)
 ((Shashwat.Chauhah@thomsonreuters.com))