AIFU Inc. details plans for ADS delisting and reverse split

Published 16/05/2025, 12:16
AIFU Inc. details plans for ADS delisting and reverse split

GUANGZHOU, China - AIFU Inc. (NASDAQ:AIFU), a company specializing in insurance brokerage services, has announced a significant update regarding its capital structure. The company has decided to delist its American Depositary Shares (ADSs) from the Nasdaq Stock Market and proceed with a Substitution Listing of its Class A ordinary shares.

The ADSs will cease trading on Nasdaq at the close of business on Tuesday, May 20, 2025. Concurrently, the ADR Facility, which facilitates the trading of ADSs, will be terminated. Following this, AIFU Inc. will carry out a 1-for-400 reverse stock split. This action will consolidate every 400 existing ordinary shares, each with a par value of US$0.001, into one new ordinary share with a par value of US$0.4.

This reverse split is expected to proportionally increase the trading price of the company’s Class A ordinary shares. Shareholders who previously held ADSs will receive one consolidated Class A ordinary share for every twenty ADSs they owned before the reverse split. Any fractional shares resulting from the consolidation will be rounded up to the nearest whole share.

The company anticipates that its Class A ordinary shares will begin trading on a post-reverse split basis on Nasdaq under the ticker symbol "AIFU" at the market opening on Wednesday, May 21, 2025. The reverse split is set to reduce the total number of outstanding ordinary shares by a factor of four hundred. The new International Securities Identification Number (ISIN) for AIFU Inc.’s consolidated Class A ordinary shares will be KYG3314G1102, with a new Committee on Uniform Securities Identification Procedures (CUSIP) number of G3314G110.

The announcement was made in compliance with the Securities Exchange Act of 1934 and was signed by Mingxiu Luan, AIFU Inc.’s Chief Executive Officer. The company’s strategic move aims to streamline its capital structure and adjust its share pricing in accordance with market standards. This information is based on a press release statement filed with the SEC.

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