Zhibao Technology is seeking approval for a conditional 50-for-1 consolidation of its Class A and Class B ordinary shares if the Nasdaq closing bid falls below $0.12 per share, subject to a share-capital increase. The proposal would alter share counts, par values and fractional-share treatment for investors.
Key Highlights
- The proposed transaction would raise each ordinary share’s Par Value from $0.0001 to $0.005.
- Authorized Capital would remain $200,000 while the authorized share count changes to 40,000,000 ordinary shares.
- Proxy materials dated September 9, 2026, include a meeting notice and proxy card for shareholders.
Zhibao Technology Inc. (NASDAQ: ZBAO) is seeking approval for a conditional 50-for-1 consolidation of its Class A and Class B ordinary shares. The resolution would apply if the Nasdaq Capital Market closing bid falls below $0.12 per share, subject to the proposed share-capital increase.
Proposed Share Structure
The resolution covers every 50 Class A ordinary shares being combined into one Class A Ordinary Share, while the same ratio would apply to Class B ordinary shares. Each resulting share would carry a par value of $0.005, compared with $0.0001 for the existing ordinary shares. The authorized Share Capital would remain $200,000. Its structure would change from 2,000,000,000 ordinary shares, including 1,950,000,000 Class A shares and 50,000,000 Class B shares, to 40,000,000 ordinary shares comprising 39,000,000 Class A shares and 1,000,000 Class B shares.
Trading and Shareholder Mechanics
No fractional shares would be issued. Any resulting fractional entitlement would be handled under the resolution’s stated terms. Shareholders holding through banks or Brokers would be treated in the same manner as registered holders, although nominee procedures may differ and those investors are directed to contact their nominees. The company is providing a meeting notice dated September 9, 2026, along with a proxy card for shareholders.
FAQs
Q: What share consolidation is Zhibao Technology proposing?
A: Zhibao Technology is proposing a conditional 50-for-1 share consolidation covering both Class A and Class B ordinary shares. The measure depends on a Nasdaq closing bid below $0.12 per share.
Q: How would the ZBAO share consolidation change authorized capital?
A: Authorized capital would remain $200,000, while the authorized share count would move to 40,000,000 ordinary shares. Class A and Class B allocations would also change.
Q: What happens to fractional shares under the proposal?
A: Zhibao Technology’s resolution provides that fractional shares would not be issued after the consolidation. Shareholders holding through nominees may face different processing procedures.
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