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Xiao-I Corporation reported $12.3M in revenue for fiscal 2025. See the full AIXI financial statements: income statement, balance sheet, cash flow and ratios, each column linked to its SEC filing.

Xiao-I Corporation Announces ADS Ratio Change with Marketplace Effective Date on September 8, 2026

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Xiao-I Corporation (AIXI) will change its American Depositary Share (ADS) ratio from one ADS representing sixty ordinary shares to one ADS representing four hundred and twenty ordinary shares, which has the same effect for ADS holders as a one-for-seven reverse ADS split, effective September 8, 2026.

ADSs will continue trading on Nasdaq under ticker AIXI on a post-reverse basis from the market open that day, with a new CUSIP of 98423X407. Ordinary shares are not affected. Every seven existing ADSs will automatically convert into one new ADS, and fractional ADSs will be sold for cash proceeds distributed to holders.

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Positive

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Negative

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Market reaction after ADS ratio change: AIXI -6.67%

-6.67% $0.44 1.5x vol
15m delay
-6.67% Vs previous close
$0.44 Last Price
$0.41 $0.48 Day Range
$404,783 Market Cap
1.5x Rel. Volume

Following this news, AIXI has declined 6.67%, reflecting a notable negative market reaction. Our momentum scanner has triggered 5 alerts so far, indicating moderate trading interest and price volatility. The stock is currently trading at $0.44. Trading volume is above average at 1.5x the average, suggesting increased trading activity.

Data tracked by StockTitan Argus (15 min delayed). Upgrade to Gold for real-time data.

Market Context

The repeated ADS-ratio precedent included a -3.23% 24-hour move after the May 6 announcement. That p...
Analysis

The repeated ADS-ratio precedent included a -3.23% 24-hour move after the May 6 announcement. That platform history adds context to this procedural exchange; investors still faced the documented Nasdaq deficiency and its February 1, 2027 deadline.

Key Figures

Existing ADS ratio: 1 ADS = 60 ordinary shares New ADS ratio: 1 ADS = 420 ordinary shares Reverse ADS split: 1-for-7 +3 more
6 metrics
Existing ADS ratio 1 ADS = 60 ordinary shares Prior ADS ratio
New ADS ratio 1 ADS = 420 ordinary shares Effective September 8, 2026
Reverse ADS split 1-for-7 Equivalent effect for ADS holders
Marketplace effective date September 8, 2026 Post-reverse ADS split trading expected at market open
Automatic exchange 7 ADSs for 1 new ADS Exchange occurs automatically on the Effective Date
New CUSIP 98423X407 ADSs following the reverse ADS split

Historical Context

5 past events · Latest: Aug 20 (Negative)
Pattern 5 events
Date Event Sentiment 24h Move Catalyst
Aug 20 listing deficiency notice Negative -21.1% Nasdaq notice cited failure to meet minimum market value of publicly held shares.
Aug 20 ADS ratio change Neutral -21.1% Company announced a one-for-seven reverse ADS split effective in September.
Jun 19 patent litigation update Negative -51.1% Court dismissed infringement claims and the company announced plans to appeal.
Jun 03 listing compliance update Positive -10.5% Company reported regaining full compliance with Nasdaq continued listing standards.
May 06 ADS ratio change Neutral -3.2% Company announced a one-for-twenty reverse ADS split effective May 11.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

AIXI's recent news events were followed by negative 24-hour moves, including both prior ADS ratio announcements.

Key Terms

ads, reverse ads split, cusip number
3 terms
ads financial
"change the ratio of its American Depositary Shares ("ADSs")"
Ads are paid promotional messages a company places across media — online, on TV, in print, or on social platforms — to attract customers, explain products, or shape public perception. For investors, ads matter because they drive sales growth, affect how much a company must spend to win customers, and influence brand strength and long-term value. Ads can also create regulatory or reputational risk if claims are misleading, which can affect profits and stock price.
reverse ads split financial
"same effect as a one-for-seven reverse ADS split"
A reverse ADS split is a corporate action that combines multiple American Depositary Shares (ADS) into a smaller number of ADS, so each new ADS represents more underlying ordinary shares and the price per ADS rises proportionally. Think of merging several small coins into one bigger coin: your total value stays the same, but the share count and per‑share price change, which can affect trading liquidity, index inclusion, and investor perception of the stock.
cusip number regulatory
"The new CUSIP number for the Company's ADSs"
A CUSIP number is a nine-character code that uniquely identifies a specific U.S. or Canadian stock, bond, or other security, similar to a barcode or a social-security number for a financial instrument. It matters to investors because it removes confusion between similar securities, ensures trades and settlements are applied to the correct issue, and helps locate official documents and transaction records quickly.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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SHANGHAI, Sept. 3, 2026 /PRNewswire/ -- Xiao-I Corporation (Nasdaq: AIXI) (the "Company") today announced that it plans to change the ratio of its American Depositary Shares ("ADSs") to its ordinary shares from one (1) ADS representing sixty (60) ordinary shares to one (1) ADS representing four hundred and twenty (420) ordinary shares. For the Company's ADS holders, the change in the ADS ratio will have the same effect as a one-for-seven reverse ADS split.

The Company's ADSs are expected to begin trading on The Nasdaq Stock Market on a post-reverse ADS split basis under the same ticker symbol, "AIXI," effective at the open of business on September 8, 2026 (the "Effective Date"). The new CUSIP number for the Company's ADSs following the reverse ADS split is expected to be 98423X407.

The ordinary shares of the Company will not be affected by the change in the ADS ratio. No ordinary shares will be issued or canceled in connection with the change in the ADS ratio, and holders of the Company's ordinary shares will be unaffected by the new ADS ratio.

The exchange of every seven (7) then-held ADSs for one (1) new ADS will occur automatically on the Effective Date, with the then-held ADSs being canceled and new ADSs being issued by Citibank, N.A., as depositary. No action is required by ADS holders to effect the exchange.

Fractional new ADSs will not be issued in connection with the change in the ADS ratio. Instead, fractional entitlements to new ADSs will be aggregated and sold by the depositary, and the net cash proceeds from the sale, after deduction of applicable fees, taxes and expenses, will be distributed to the applicable ADS holders in accordance with the terms of the deposit agreement.

 About Xiao-I Corporation

Xiao-I Corporation is a leading cognitive intelligence enterprise in China that offers a diverse range of business solutions and services in artificial intelligence, covering natural language processing, voice and image recognition, machine learning, and affective computing. Since its inception in 2001, the Company has developed an extensive portfolio of cognitive intelligence technologies that are highly suitable and have been applied to a wide variety of business cases. Xiao-I powers its cognitive intelligence products and services with its cutting-edge, proprietary AI technologies to enable and promote industrial digitization, intelligent upgrading, and transformation. For more information, please visit: www.xiaoi.com

Forward-Looking Statements

This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. When the Company uses words such as "may," "will," "intend," "should," "believe," "expect," "anticipate," "project," "estimate" or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause actual results to differ materially from the Company's expectations discussed in the forward-looking statements. These statements are subject to uncertainties and risks including, but not limited to, the following: the Company's ability to achieve its goals and strategies, its future business development, financial condition, and results of operations, product and service demand and acceptance, reputation and brand, the impact of competition and pricing, changes in technology, government regulations, fluctuations in general economic and business conditions in China, and assumptions underlying or related to any of the foregoing and other risks contained in reports filed by the Company with the U.S. Securities and Exchange Commission ("SEC"). For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Additional factors are discussed in the Company's filings with the SEC, including under the section entitled "Risk Factors" in its annual report on Form 20-F, as amended by Amendment No. 1 on Form 20-F/A filed with the SEC on May 22, 2026, as well as its current reports on Form 6-K and other filings, all of which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

Cision View original content:https://www.prnewswire.com/news-releases/xiao-i-corporation-announces-ads-ratio-change-with-marketplace-effective-date-on-september-8-2026-302864732.html

SOURCE Xiao-I Corporation

FAQ

What ADS ratio change did Xiao-I (AIXI) announce for its shares?

Xiao-I will change its ADS ratio from one ADS for sixty ordinary shares to one ADS for four hundred and twenty ordinary shares. For ADS holders, the company states this will have the same effect as a one-for-seven reverse ADS split.

When does Xiao-I (AIXI) reverse ADS split become effective on Nasdaq?

The ADS ratio change, described as having the effect of a one-for-seven reverse ADS split, is expected to become effective at the open of business on September 8, 2026. From that date, Xiao-I ADSs will trade on Nasdaq on a post-reverse basis.

How will the Xiao-I (AIXI) ADS ratio change affect existing ADS holders?

On the effective date, every seven then-held ADSs will automatically be exchanged for one new ADS. The existing ADSs will be canceled and new ADSs issued by Citibank, N.A., as depositary. No action is required from ADS holders to complete the exchange.

Are Xiao-I (AIXI) ordinary shares affected by the ADS ratio change?

The company states that ordinary shares will not be affected by the ADS ratio change. No ordinary shares will be issued or canceled, and holders of ordinary shares are unaffected by the new ADS ratio; the change only alters how many ordinary shares each ADS represents.

What happens to fractional ADSs in the Xiao-I (AIXI) reverse ADS split?

Fractional new ADSs will not be issued. Instead, fractional entitlements will be aggregated and sold by the depositary. The net cash proceeds, after applicable fees, taxes and expenses, will be distributed to the ADS holders entitled to those fractions under the deposit agreement.

What will be the new CUSIP for Xiao-I (AIXI) ADSs after the reverse split?

Following the change in the ADS ratio, Xiao-I ADSs are expected to trade under a new CUSIP number 98423X407. The ticker symbol AIXI on Nasdaq will remain the same, but the CUSIP will identify the post-reverse ADSs.