GIBO Holdings will execute a 200-for-1 share consolidation of its Class A and Class B ordinary shares on August 20, 2025, to boost the market price per share. This move aims to increase the value of the company's shares. GIBO's stock price fell 13.7% premarket.
GIBO Holdings Limited (GIBO), a leading AI-generated content (AIGC) animation streaming platform, has announced a significant move to consolidate its shares. The company plans to execute a 200-for-1 share consolidation of its Class A and Class B ordinary shares, effective August 20, 2025. This consolidation aims to increase the market price per share and boost investor confidence.
On August 6, 2025, the company's shareholders voted and approved the share consolidation at an extraordinary general meeting. The consolidation ratio is 200:1, meaning every 200 authorized issued and unissued Class A ordinary shares, par value $0.000001 each, will be consolidated into one Class A ordinary share, par value $0.0002 each. Similarly, every 200 authorized issued and unissued Class B ordinary shares, par value $0.000001 each, will be consolidated into one Class B ordinary share, par value $0.0002 each [1].
The share consolidation will affect all issued and outstanding ordinary shares of the company. It will also reduce the number of Class A ordinary shares issuable upon the exercise of the company's warrants, causing a proportionate increase in the exercise prices of such warrants. However, the consolidation will not alter any shareholder's percentage interest in the company's equity. No fractional shares will be issued, and shareholders will have their entitlement rounded up to the nearest whole share [1].
GIBO anticipates that the share consolidation will increase the market price per share of the company's Class A ordinary shares. The company's stock price fell 13.7% premarket, which may have influenced the decision to consolidate shares to boost the stock price [2].
Registered shareholders holding pre-consolidated shares are not required to take any action to receive post-consolidated shares. Shareholders owning shares via a broker, bank, trust, or other nominee will have their positions automatically adjusted to reflect the share consolidation, and they will not be required to take any action in connection with the consolidation [1].
GIBO Holdings Limited serves a broad community of young people across Asia, providing extensive functionalities for both viewers and creators to create, publish, share, and enjoy AI-generated animation video content. The company has approximately 86 million registered users and advanced AI-powered tools [1].
References:
[1] https://www.prnewswire.com/news-releases/gibo-holdings-limited-announces-effective-date-of-share-consolidation-302530873.html
[2] https://www.marketscreener.com/news/gibo-holdings-limited-announces-effective-date-of-share-consolidation-ce7c51dedd8bf027
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