1. PAVS announces a 1-for-100 reverse share split effective December 18, 2025. 2. Post-split, the par value of shares will increase to $1. 3. The reverse split aims to meet Nasdaq's minimum bid price requirement. 4. Outstanding shares will reduce from 350 million to about 3.5 million. 5. No fractional shares will be issued; interests rounded up.
FAQ
Why Bullish?
Reverse split can stabilize share price, aiding compliance with listing requirements. Historically, reverse splits have led to significant positive price adjustments for firms, like in cases with other penny stocks regaining investor interest.
How important is it?
This announcement directly affects PAVS's price and investor perceptions, crucial for future funding and operations.
Why Short Term?
Immediate effects expected around December 18, 2025, with potential volatility post-split. Historically, stocks see accelerated price movements shortly after reverse splits before stabilizing.
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Paranovus Entertainment Technology Limited Announces Reverse Share Split
Paranovus Entertainment Technology Limited (NASDAQ: PAVS) has announced a planned reverse share split of its Class A ordinary shares. This reverse split will occur at a ratio of 1-for-100, effective at the market open on Thursday, December 18, 2025. The decision aims to ensure compliance with Nasdaq's minimum bid price requirement for continued listing.
Details of the Reverse Share Split
Following the reverse share split, the Class A ordinary shares will adjust their par value from $0.01 to $1.00 per share. The shares will continue trading on Nasdaq under the stock symbol PAVS with a new CUSIP number, G4289N122. The market expects that this split will likely cause the shares to trade at approximately 100 times their current price, although the company cannot guarantee this outcome.
- Current shares outstanding: 350 million
- Expected shares outstanding post-split: 3.5 million
- Effective date of split: December 18, 2025
The absence of fractional shares means any fractional interests will be rounded up to the nearest whole share.
Implications for Investors
The board of directors approved this reverse share split on December 1, 2025, as part of the company's strategy to enhance its stock price and ensure compliance with Nasdaq regulations. The reverse split may impact the stock’s trading price; however, there is no assurance that the post-split price will be sustained.
VStock Transfer LLC will serve as the exchange and paying agent for this process. Shareholders holding stocks in book-entry or brokerage form will not need to take action as VStock will manage the exchange of shares. Shareholders with certificates will receive instructions from VStock on how to exchange pre-reverse share split certificates.
About Paranovus Entertainment Technology Limited
Paranovus focuses on e-commerce solutions and TikTok-related services through its subsidiaries. In March 2025, the company acquired control of Bomie Wookoo Inc, a New York-based e-commerce solutions provider. As part of a strategic repositioning, Paranovus exited its legacy businesses, including e-commerce and advertising services, and ceased its automobile sales operations.
For further information on Paranovus and its ongoing innovations, visit https://www.pavs.ai/.
Forward-Looking Statements
This announcement contains forward-looking statements, as defined by the Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties, potentially causing actual results to differ materially from the company's expectations. Investors should exercise caution and not place undue reliance on these forward-looking statements. Further details can be accessed through the company's filings with the U.S. Securities and Exchange Commission, available at www.sec.gov.