Shareholders Approve Reverse Stock Split and Capital Restructuring

summarizeSummary

Shareholders of Erayak Power Solution Group Inc. approved a reverse stock split and related capital changes, granting the board broad discretion on the consolidation ratio.

check_boxKey Events · Corporate Governance and Compliance · RAYA

• Reverse Stock Split Approved

  Shareholders approved a share consolidation (reverse stock split) at a ratio between 1-for-10 and 1-for-500, with the board determining the final ratio and effective date within one year. This finalizes the proposal from January 21, 2026.

• Authorized Share Capital Restructured

  The company's authorized share capital was changed, significantly increasing the total number of ordinary shares and decreasing their par value, a preparatory step for future capital actions.

• Board Discretion Granted

  The board of directors now has sole discretion to implement the exact consolidation ratio and effective time for the reverse stock split.

auto_awesomeAnalysis · RAYA · Manufacturing

Erayak Power Solution Group Inc. shareholders have approved a reverse stock split, allowing the board discretion to consolidate shares at a ratio between 1-for-10 and 1-for-500. This action, following the proposal on January 21, 2026, is a critical step for the nano-cap company, likely aimed at meeting exchange listing requirements or facilitating future capital raises. While reverse splits are often viewed negatively by the market as they do not change fundamental value, this approval provides the company with flexibility to address its capital structure. Investors should monitor the board's decision on the exact ratio and effective date, as well as any subsequent financing activities.