Quhuo Updates American Depositary Shares Configuration

Quhuo Limited Announces Change in ADS Ratio
Quhuo Limited (NASDAQ: QH), a prominent gig economy platform focused on local life services, has declared a fundamental adjustment to its American Depositary Shares (ADS) ratio. This modification will shift from the existing ratio of one ADS representing ten Class A ordinary shares to a new ratio of one ADS for every nine hundred Class A ordinary shares.
Understanding the ADS Ratio Change
This change represents a strategic move to optimize the company's capital structure and improve its share price. By filing a post-effective amendment to the ADS Registration Statement on Form F-6 with the U.S. Securities and Exchange Commission, Quhuo aims to formalize this adjustment. The new ADS ratio is expected to come into effect shortly, ensuring that current shareholders receive new shares based on the new structure.
For those holding Quhuo's ADS, this change equates to a one-for-90 reverse split, meaning for every ninety existing ADSs held, shareholders will receive one new ADS. This step is intended to maintain proportional equity interests without outing ADS holders negatively.
Trading Information
With this transition, Quhuo's ADSs will continue to be listed on The Nasdaq Global Market under the same symbol, QH, but will feature a new CUSIP number of 74841Q308. This consistency in trading is crucial for existing shareholders and potential investors alike, as it reflects the company's commitment to a smooth transition.
Impact on Shareholders
The anticipated increase in Quhuo's ADS trading price is expected to be proportional to the ratio change. Although the company believes the price should rise significantly, it cannot guarantee that the new price will be at least 90 times the previous trading price. This uncertainty serves as a reminder for shareholders to remain informed about market dynamics.
About Quhuo Limited
Quhuo Limited (NASDAQ: QH) is recognized as a key player in providing operational solutions within the gig economy. The firm offers comprehensive tech-driven solutions for businesses in the on-demand services space, predominantly in sectors such as food delivery, mobility, housekeeping, and accommodation. Quhuo empowers its clients to leverage a skilled workforce through thorough training and meticulous performance monitoring.
By acting as an essential bridge between service providers and consumers, Quhuo facilitates the delivery of valuable experiences and services. This commitment to enhancing operational efficiency positions Quhuo as a leading choice for businesses navigating the complexities of e-commerce environments.
Frequently Asked Questions
What is the reason for the ADS ratio change by Quhuo?
The change aims to optimize Quhuo's capital structure and improve share price performance.
How will the new ADS ratio affect current shareholders?
Current shareholders will experience a reverse split, exchanging ninety ADSs for one new ADS, maintaining their proportional equity.
What will the new CUSIP number be for Quhuo's ADS?
The new CUSIP number will be 74841Q308 following the ratio change.
Will Quhuo's ADSs continue to be traded under the same symbol?
Yes, Quhuo's ADSs will continue to be traded under the symbol QH on The Nasdaq Global Market.
When will the new ADS ratio take effect?
The new ADS ratio is expected to take effect shortly, pending regulatory approvals.
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