Eshallgo Executes 1-for-16 Reverse Split to Secure Nasdaq Compliance
Eshallgo will implement a 1-for-16 reverse split on April 20, reducing Class A shares from 26.51 million to 1.66 million and Class B shares from 5.86 million to 0.37 million. The consolidation aims to satisfy Nasdaq’s minimum $1.00 bid price requirement.
1. Reverse Split Details
The board approved a 1-for-16 reverse share split effective at market open on April 20, 2026, combining every sixteen Class A or Class B ordinary shares into one share and adjusting the par value from $0.0001 to $0.0016.
2. Nasdaq Compliance Objective
The reverse split is intended to comply with Nasdaq Capital Market Rule 5550(a)(2), which requires a minimum bid price of $1.00 per share to maintain listing eligibility.
3. Share Count Adjustments
Post-consolidation, Class A shares will decrease from approximately 26.51 million to 1.66 million and Class B shares from approximately 5.86 million to 0.37 million, with authorized shares reduced proportionally and a new CUSIP assigned.
4. Impact on Shareholders
All shareholders will receive whole shares in lieu of fractional amounts, no action is required for those holding shares through brokerages, and percentage ownership remains unchanged aside from minimal fractional adjustments.