Lucas GC to implement 40-for-1 share consolidation and dual-class structure

NEW YORK - Lucas GC Limited (NASDAQ:LGCL), currently trading at $0.15 per share with a market capitalization of $17.29 million, announced Thursday it will implement a 40-for-1 share consolidation and adopt a dual-class share structure on October 13, 2025. According to InvestingPro analysis, the stock appears undervalued based on its Fair Value estimates.

The AI technology company, which provides Platform-as-a-Service solutions for human resources and insurance sectors, received shareholder approval for these changes at an extraordinary general meeting on May 5, 2025. The company maintains healthy financials with a current ratio of 1.91 and trades at attractive multiples with a P/E ratio of 4.85 and P/B ratio of 0.47. InvestingPro subscribers have access to 16 additional key insights about LGCL’s financial health and market position.

Under the share consolidation, every 40 shares with par value of $0.000005 will be consolidated into one share with par value of $0.0002. Following this change, the company’s authorized share capital will remain at $50,000 but will be divided into 250,000,000 shares.

The dual-class structure will reorganize these shares into 235,000,000 Class A ordinary shares and 15,000,000 Class B ordinary shares, both with par value of $0.0002 each.

Lucas GC’s Class A ordinary shares will trade on the Nasdaq Capital Market on a consolidation-adjusted basis starting October 13, with a new CUSIP number G57037114 assigned. Shareholders holding shares in book-entry form or street name will not need to take action, as positions will be automatically adjusted.

No fractional shares will be issued, with entitlements rounded up to the nearest whole share. The company expects the consolidation will increase the market price per share of its Class A ordinary shares.

Lucas GC reports having 19 granted U.S. and Chinese patents and over 75 registered software copyrights in AI, data analytics, and blockchain technologies, according to the press release statement. Despite the company’s technological assets, InvestingPro data shows the stock has faced significant market challenges, with detailed analysis available to subscribers.

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