Liberty Media Corporation has announced the date it expects to complete its merger with SiriusXM to simplify the satellite broadcaster’s ownership structure. “New SiriusXM” will combine multiple ticker symbols – including LSXMA, LSXMB, and LSXMK – into SIRI.
Should all go to plan, New SiriusXM is tentatively scheduled to be finalized on September 9.
The company is set to conduct a virtual special meeting for shareholders of its Series A and Series B Liberty SiriusXM common stock on August 23, where shareholders will vote on a strategic proposal to separate the Liberty SiriusXM Group via a redemptive split-off into a newly formed company referred to as “SplitCo.” Following the separation, the newly established SplitCo is planned to merge with Sirius XM Holdings Inc.
A June 17 SEC filing revealed the company plans to undergo a reverse stock split, with current SiriusXM shareholders receiving one New Sirius share for every ten shares they currently hold, modifying the earlier 1:1 ratio after adjusting for net liabilities.
Liberty stated this reverse stock split aims to balance the transaction economically, enhance the new share price, and reduce total shares issued. The changes, endorsed by the Liberty Board, the SiriusXM Special Committee, and SiriusXM’s Board, are intended to align share prices more effectively post-transaction and enhance market appeal.
As part of the restructuring, Sirius XM Radio Inc. is set to convert into a Delaware limited liability company.
Will my October and January SIRI calls expire worthless once the September merger takes place?