Addentax Group Announces 1-for-15 Reverse Stock Split to Enhance Capital Structure

Addentax Group Implements Reverse Stock Split to Optimize Share Structure

Addentax Group Corp. announces a significant corporate maneuver aimed at enhancing the structure of its shares. Following approval from shareholders during the 2025 Annual Meeting held on January 30, 2026, the Board of Directors has authorized a reverse stock split at a ratio of 1-for-15. This strategic decision, made on March 19, 2026, is set to take effect at 12:01 a.m. Eastern Time on March 30, 2026. The move intends to consolidate the company's shares, ensuring that every fifteen shares of common stock held by the investors will be reclassified into one. While the existing par value remains at $0.001 per share, this adjustment anticipates strengthening the company's presence on the Nasdaq Capital Market.

The upcoming reverse stock split is designed to help optimize Addentax Group's capital structure and promote a more favorable market perception. Starting March 30, 2026, trading for the company's shares will be adjusted according to the new split ratio under the symbol "ATXG," with a designated new CUSIP number (00653L400). This measure aims to increase the share price, providing greater stability and attracting potential investors who prefer firms with higher stock valuations. Notably, all stockholders will be treated evenly, maintaining their equity percentages with only minor adjustments linked to the absence of fractional shares.

Importantly, the company reassures its stakeholders that no fractional shares will be issued. Instead, shareholders entitled to a fraction of a share will be converted into one whole share, thereby minimizing confusion and ensuring a smooth transition. The procedure will be overseen by Transfer Online, Inc., designated as the exchange agent throughout this stock conversion process. As an integrated service provider in garment manufacturing and logistics, Addentax Group aims to leverage this corporate restructuring to strengthen its position and further its operational goals in the competitive landscape.

In addition to these structural changes, the announcement also comments on overall future outlooks and potential financial trends, highlighting the inherent risks and uncertainties that accompany such projections. Addentax Group continues to adapt to market dynamics, enhancing its strategies to stay relevant and competitive in the ever-evolving industry landscape. For more details about the company and its services, stakeholders can visit their website at addentax.com.