ATIF Holdings Limited Implements Reverse Share Split Plan
Overview of the Reverse Share Split
ATIF Holdings Limited (NASDAQ: ZBAI), based in Irvine, California, has made a significant announcement regarding the implementation of a reverse share split of its outstanding ordinary shares. The split will be executed at a ratio of 1-for-18, effective at the start of business on a Friday yet to be specified.
Impact on Ordinary Shares
With the reverse share split, the ordinary shares of ATIF will begin trading on an adjusted basis on The Nasdaq Capital Market, ensuring that the company continues to meet listing requirements. Following the split, the par value of each ordinary share will increase to $0.018. The symbol for trading these shares will remain “ZBAI”, but with a new CUSIP number which is G0602B118.
Objectives of the Share Split
The primary goal of this reverse split is to help the company regain compliance with Nasdaq's minimum bid price requirement of $1.00 per share. This strategy aims to consolidate the number of shares while maintaining shareholder value.
Details of the Reverse Share Split Process
After the reverse share split, ATIF Holdings Limited will see a substantial reduction in the total number of issued and outstanding ordinary shares, decreasing from approximately 18.2 million to around 1.01 million shares. Furthermore, fractional shares will not be issued; any fractional interests will be rounded up to the nearest whole number of ordinary shares, ensuring that all shareholders retain an equitable stake in the company.
Management of Shareholder Transactions
Transhare Corporation has been designated as the exchange agent and paying agent for this reverse share split. Shareholders who hold shares in book-entry form or within brokerage accounts are not required to take any action for the share split. Those holding physical certificates, however, will receive instructions from Transhare on how to exchange their existing shares for shares in book-entry form or new certificates post-split. It’s advisable for shareholders to reach out to their respective banks, brokers, or custodians with any questions regarding this process.
About ATIF Holdings Limited
ATIF Holdings Limited is a prominent business consulting firm that provides professional initial public offering (IPO) advisory, mergers and acquisitions (M&A) services, and post-IPO compliance solutions aimed at empowering small and medium-sized enterprises eager to enter the U.S. stock market. With an eye on dynamic opportunities, the company is also exploring potential business avenues within the BTC sector, driving innovation and growth.
Frequently Asked Questions
What is the reason for the reverse share split?
The reverse share split aims to help ATIF Holdings regain compliance with Nasdaq's minimum bid price requirement to maintain its listing.
What will the new par value of the shares be?
The new par value of each ordinary share post-split will be $0.018 per share.
How many shares will be outstanding after the split?
After the reverse split, the total number of outstanding shares will decrease from approximately 18.2 million to about 1.01 million.
Will shareholders need to take action regarding their shares?
No action is needed from shareholders holding their shares in book-entry form or brokerage accounts. Those with physical certificates will receive further instructions on exchanging them.
What opportunities is ATIF Holdings exploring?
The company is currently looking into business opportunities within the BTC sector, representing a forward-looking growth strategy.
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