Plan to Bring Tri-Lite Out of Bankruptcy

Helionetics Inc. implemented a 1-for-10 reverse stock split as part of a plan to bring its Santa Ana-based Tri-Lite Inc. unit out of bankruptcy.

Under the plan being developed by Van Nuys-based Helionetics, Tri-Lite would emerge from bankruptcy a profitable company with revenue of about $15 million and liquid net assets sufficient to sustain its growth and profitability, the company said.

Tri-Lite, a manufacturer of energy-saving light fixtures, filed for bankruptcy protection last month after a Cincinnati bank moved to foreclose on the company.

Helionetics is also considering merging its AIM Energy Inc. unit into Tri-Lite. AIM Energy is marketing a proprietary technology-based system that mitigates harmonics, a pollutant of electrical systems that may result in fires and damage to or destruction of transformers.

Helionetics shareholders authorized the reverse stock split at the company’s annual meeting Dec. 29. The reverse split reduced the number of outstanding shares to 5 million from 50 million. The company said, however, that it has increased authorized shares to 10 million from 5 million.