NetClass Technology Approves 1-for-50 Reverse Split to Maintain Nasdaq Compliance
NTCL•NetClass Technology will implement a 1-for-50 reverse share split effective July 6, 2026, consolidating approximately 63.9 million Class A and 2.0 million Class B shares into about 1.28 million and 40,000 shares respectively. The move aims to satisfy Nasdaq’s $1.00 minimum bid-price requirement and maintain listing compliance.
1. Reverse Split Details
NetClass Technology’s board approved a 1-for-50 reverse split of both Class A and Class B ordinary shares, effective at the open of Nasdaq trading on July 6, 2026. Following consolidation, each block of 50 shares will convert into one share under a new CUSIP number G6427C116.
2. Rationale and Compliance
The reverse split was initiated to ensure compliance with Nasdaq Listing Rule 5550(a)(2), which mandates a minimum bid price of $1.00 per share for continued listing on the Nasdaq Capital Market. This action prevents potential delisting risk by boosting the per-share trading price.
3. Impact on Share Capital
Following the reverse split, issued and outstanding Class A shares will fall from roughly 63.9 million to 1.28 million and Class B shares from about 2.0 million to 40,000, with authorized shares reduced proportionally. No fractional shares will be issued; any fractional interests will be converted into one whole share.
