News in brief: Canoo shares slip after reverse split; Walmart to process milk at Texas plant

A Canoo Lifestyles vehicle is shown, Friday, May 20, 2022 at the Canoo car manufacturing plant in Bentonville. Canoo, the electric car maker planning on headquartering in Bentonville, showed off its new Lifestyles vehicle in Bentonville. Check out nwaonline.com/220521Daily/ and nwadg.com/photos for a photo gallery...(NWA Democrat-Gazette/Charlie Kaijo)
A Canoo Lifestyles vehicle is shown, Friday, May 20, 2022 at the Canoo car manufacturing plant in Bentonville. Canoo, the electric car maker planning on headquartering in Bentonville, showed off its new Lifestyles vehicle in Bentonville. Check out nwaonline.com/220521Daily/ and nwadg.com/photos for a photo gallery...(NWA Democrat-Gazette/Charlie Kaijo)


Canoo shares slip after reverse split

Shares of electric vehicle maker Canoo, Inc. closed at $2.13, down 14 cents in trading Friday -- the day the company enacted a 1-to-23 reverse stock split.

The move is an attempt by Canoo to regain compliance with the $1 minimum bid requirement of The Nasdaq Capital Market. A reverse stock split doesn't affect the value of the company but it reduces the number of shares and by doing so pushes the stock price up.

Canoo has yet to post a profitable quarter or meaningful revenue and has been burning through cash as it tries to bring its vehicles to market. It was trading at about 9 cents a share before the reverse split.

In September, Canoo shifted its shares to trade on the Nasdaq Capital Market after Nasdaq put it on notice six months earlier that the company no longer met certain listing requirements. The move kept Canoo's stock trading on a 24-hour, public exchange and keeps it from over-the-counter trading, but came with a ticking clock of its own -- Canoo shares need to trade above $1 for 10 consecutive days over the next 180 days or face delisting.

Canoo continues to trade under the GOEV symbol and has until March 25 to meet minimum bid requirements, according to the company.

-- John Magsam

Walmart to process milk at Texas plant

Walmart Inc. plans to build a third milk-processing plant, this time near Waco, Texas, the company said Friday.

The plant in Robinson, Texas, is scheduled to open in 2026 and will create nearly 400 jobs, Walmart said.

The facility will process and bottle milk for Walmart's Great Value and Sam's Club's Members Mark brands. The products will serve more than 750 stores and clubs throughout the South.

The Bentonville-based retailer has been working for several years to create greater transparency about where its food products come from and to make sure it has plenty of supply.

Walmart opened its first milk-processing plant in 2018 in Fort Wayne, Ind. A second one is expected to open next year in Valdosta, Ga.

The company created a similar initiative with its meat department by creating an Angus beef supply chain. Walmart opened its first case-ready beef facility in 2020, in Thomasville, Ga., that distributes Angus beef cuts to 500 Walmart stores in the Southeast.

A second case-ready beef plant is set to open next year in Olathe, Kan., creating more than 600 jobs.

-- Serenah McKay

Arkansas Index flat with 903.98 closing

The Arkansas Index, a price-weighted index that tracks the largest public companies based in the state, closed Thursday at 903.98, up 0.10 points.

Shares of America's Car-Mart rose 6.7% to lead the index.

The index was developed by Bloomberg News and the Democrat-Gazette with a base value of 100 as of Dec. 30, 1997.


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