Intelligent Living Application Group Inc. Announces 1-for-10 Share Consolidation (Reverse Stock Split)

Rhea-AI Summary

Intelligent Living Application Group (Nasdaq: ILAG) announced a 1-for-10 share consolidation approved by shareholders and set by the board on December 22, 2025, with post-consolidation trading beginning on December 30, 2025.

Key figures: ordinary shares will fall from 20,769,483 pre-split to approximately 2,077,448 post-split; par value rises from $0.0001 to $0.001. Series A preferred shares move from 2,000,000 to ~200,000; Series B preferred from 10,000,000 to ~1,000,000. New CUSIP is G4804S119.

The consolidation is being implemented primarily to comply with Nasdaq Rule 5550(a)(2) on minimum bid price. Shareholders receive one post-consolidation share per ten pre-consolidation shares; fractional shares will be rounded up and no action is required for shares held at brokerages.

Positive

• 1-for-10 consolidation determined by board on Dec 22, 2025
• Ordinary shares reduced from 20,769,483 to ~2,077,448
• Action intended to seek Nasdaq minimum bid price compliance

Negative

• Fractional shares will be rounded up, slightly increasing post-split share count
• Share consolidation will reduce publicly quoted share count, which can affect liquidity

News Market Reaction – ILAG

-16.26%

6 alerts

-16.26% News Effect

-20.6% Trough in 1 hr 22 min

-$2M Valuation Impact

$8M Market Cap

0.7x Rel. Volume

On the day this news was published, ILAG declined 16.26%, reflecting a significant negative market reaction. Argus tracked a trough of -20.6% from its starting point during tracking. Our momentum scanner triggered 6 alerts that day, indicating moderate trading interest and price volatility. This price movement removed approximately $2M from the company's valuation, bringing the market cap to $8M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Reverse split ratio: 1-for-10 Pre-split ordinary shares: 20,769,483 shares Post-split ordinary shares: approximately 2,077,448 shares +5 more

8 metrics

Reverse split ratio 1-for-10 Board-approved share consolidation ratio determined on December 22, 2025

Pre-split ordinary shares 20,769,483 shares Ordinary shares outstanding before consolidation

Post-split ordinary shares approximately 2,077,448 shares Ordinary shares outstanding after 1-for-10 consolidation

Series A pre-split 2,000,000 shares Series A preferred shares outstanding before consolidation

Series A post-split approximately 200,000 shares Series A preferred shares outstanding after consolidation

Series B pre-split 10,000,000 shares Series B preferred shares outstanding before consolidation

Series B post-split approximately 1,000,000 shares Series B preferred shares outstanding after consolidation

Nasdaq rule reference Rule 5550(a)(2) Minimum bid price requirement cited as rationale for consolidation

Market Reality Check

Price: $3.00 Vol: Volume 7,357 is about 0.1...

low vol

$3.00 Last Close

Volume Volume 7,357 is about 0.19x the 20-day average volume of 38,798 ahead of the reverse split announcement. low

Technical Shares trade below the 200-day MA of 0.49 with the last price at 0.42, reflecting a subdued longer-term trend before the split.

Peers on Argus

Momentum data flags a sector-wide downward move with peers like AEHL at -10.20% ...

2 Down

Momentum data flags a sector-wide downward move with peers like AEHL at -10.20% and STAI at -6.71%, while ILAG’s pre-news move was a modest 0.84% gain, indicating company-specific dynamics around the reverse split.

Common Catalyst Peers showed negative momentum without same-day news, suggesting broader sector pressure rather than a shared corporate catalyst.

Historical Context

2 past events · Latest: Dec 22 (Negative)

Pattern 2 events

Date	Event	Sentiment	Move	Catalyst
Dec 22	Earnings update	Negative	+11.5%	H1 2025 results showed revenue decline and higher net loss versus prior year.
Jul 24	Listing compliance	Neutral	+0.7%	Nasdaq granted 180-day extension to regain $1.00 minimum bid price.

Pattern Detected

Recent ILAG news included weak financials that nonetheless saw a positive price reaction and a Nasdaq compliance extension with a modest gain, suggesting past instances where news-driven moves have not strictly followed headline tone.

Recent Company History

This announcement follows an earnings release on Dec 22, 2025 where ILAG reported sharply lower revenues and a higher net loss for H1 2025, yet the stock rose 11.46% over the next day. Earlier, on Jul 24, 2025, Nasdaq granted ILAG a 180-day extension to regain the $1.00 bid price, with a 0.74% price increase. Today’s reverse split directly addresses that minimum bid price requirement highlighted in July.

Market Pulse Summary

The stock dropped -16.3% in the session following this news. A negative reaction despite the mechani...

Analysis

The stock dropped -16.3% in the session following this news. A negative reaction despite the mechanical nature of a 1-for-10 reverse split would fit patterns where corporate actions to meet listing standards heighten perceived risk. The move follows weak H1 2025 results and a Nasdaq extension granted on Jul 24, 2025. While the consolidation targets Rule 5550(a)(2) compliance, past price behavior around fundamentals and sector pressure could influence how durable any decline becomes.

Key Terms

reverse stock split, par value, CUSIP, Nasdaq Marketplace Rule 5550(a)(2)

4 terms

reverse stock split financial

"Announces 1-for-10 Share Consolidation (Reverse Stock Split)"

A reverse stock split is when a company reduces the number of its shares outstanding, making each share more valuable. For example, if you own 100 shares worth $1 each, a 1-for-10 reverse split would turn your 100 shares into 10 shares worth $10 each. Companies often do this to boost their stock price and appear more stable to investors.

par value financial

"par value of $0.0001 and the post-split number of Ordinary Shares"

Par value is the fixed amount printed on a bond or stock that represents its original value when issued. It’s like the face value of a coin or bill—what the issuer promises to pay back or the starting price of a stock—though it often doesn’t change with market prices. It matters because it helps determine certain financial details, like how much the company will pay back at maturity.

CUSIP technical

"The new CUSIP number for the Company's Ordinary Shares post-consolidation is"

A CUSIP is a nine-character alphanumeric code that uniquely identifies a U.S. or Canadian financial security—such as a stock, bond, or fund share—like a Social Security number for an investment. It matters to investors because brokers, exchanges and record-keepers use the CUSIP to match trades, track ownership, settle transactions and pull accurate records, reducing errors and ensuring money and securities go to the right place.

Nasdaq Marketplace Rule 5550(a)(2) regulatory

"to comply with Nasdaq Marketplace Rule 5550(a)(2) related to the minimum bid price"

Nasdaq Marketplace Rule 5550(a)(2) sets a minimum share price requirement for companies listed on the Nasdaq Capital Market, typically requiring that a company’s common stock maintain a closing bid of at least $1.00 per share. It matters to investors because failure to meet this threshold can trigger a delisting review, which is similar to failing a safety inspection: the stock may be removed from the exchange or force corporate actions (like a reverse split) that change liquidity, visibility, and how easy it is to buy or sell the shares.

AI-generated analysis. Not financial advice.

HONG KONG, Dec. 26, 2025 /PRNewswire/ -- Intelligent Living Application Group Inc. (Nasdaq: ILAG) (the "Company" or "Intelligent Living"), a premium lockset manufacturer and distributor headquartered in Hong Kong, today announced, on December 15, 2025, the Company held an extraordinary general meeting of the Company (the "Meeting"). At the Meeting, the shareholders of the Company approved to effect a share consolidation/reverse stock split of all the issued and outstanding and authorized and unissued ordinary shares (the "Ordinary Shares") and preferred shares including Series A and Series B preferred shares (the "Preferred Shares") of the Company be consolidated with a corresponding increase in the par value of the Company's Ordinary Shares and Preferred Shares (collectively, the "Shares"), at any one time or multiple times during a period of up to one year after the date of the approval of the authorization of share consolidations by the shareholders of the Company, at the exact consolidation ratio and effective time as the Board of Directors of the Company (the "Board") may determine from time to time in its absolute discretion provided that the accumulative consolidation ratio for all such share consolidation(s) shall not be more than 1:200 (the "Range"), to be determined by the Company's Board in its sole discretion. (the "Share Consolidation").

On December 22, 2025, the Board determined the ratio for Share Consolidation to be one (1)- for- ten (10) and to round up the fractions of the issued consolidated shares resulting from the Share Consolidation. The Company's Ordinary Shares will begin to trade on the NASDAQ Stock Market on the post-consolidation basis under the symbol "ILAG" on December 30, 2025. The current pre-split number of Ordinary Shares outstanding is 20,769,483 with a par value of $0.0001 and the post-split number of Ordinary Shares outstanding will be approximately 2,077,448 with a par value of $0.001. The new CUSIP number for the Company's Ordinary Shares post-consolidation is G4804S119. The Share Consolidation is primarily being effectuated to comply with Nasdaq Marketplace Rule 5550(a)(2) related to the minimum bid price per share of the Company's ordinary shares. 

The current pre-split number of Series A preferred shares outstanding is 2,000,000 with a par value of $0.0001 and the post-split number of Series A preferred shares outstanding will be approximately 200,000 with a par value of $0.001. The current pre-split number of Series B preferred shares outstanding is 10,000,000 with a par value of $0.0001 and the post-split number of Series B preferred shares outstanding will be approximately 1,000,000 with a par value of $0.001. 

The Company's shareholders will receive one post-consolidation Share for every ten pre-consolidation Shares held by them. Immediately after the Share Consolidation, each shareholder's percentage ownership interest in the Company and proportional voting power will remain unchanged, except for minor changes and adjustments that will result from the treatment of fractional shares. No fractional shares will be issued and the fractional shares will be round up in connection with the Share Consolidation. The rights of the holders of the shares of the Company will be substantially unaffected by the Share Consolidation. Shareholders who are holding their shares in electronic form at brokerage firms do not need to take any action, as the effect of the Share Consolidation will automatically be reflected in their brokerage accounts.

About Intelligent Living Application Group Inc.

Intelligent Living Application Group Inc. is a premium lockset manufacturer and distributor headquartered in Hong Kong. Intelligent Living manufactures and sells high quality mechanical locksets to customers mainly in the United States and Canada and has continued to diversify and refine its product offerings in the past 40 years to meet its customers' needs. Intelligent Living obtained the ISO9001 quality assurance certificate and various accredited quality and safety certificates including American National Standards Institute (ANSI) Grade 2 and Grade 3 standards that are developed by the Builders Hardware Manufacturing Association (BHMA) for ANSI. Intelligent Living keeps investing in self-designed automated product lines, new craftsmanship and developing new products including smart locks. For more information, visit the Company's website at http://www.i-l-a-g.com.

Forward-Looking Statements

This press release contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about the Company's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, and a number of factors could cause actual results to differ materially from those contained in any forward-looking statement. In some cases, forward-looking statements can be identified by words or phrases such as "may," "will," "expect," "anticipate," "target," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions. The Company may also make written or oral forward-looking statements in its reports filed with, or furnished to, the U.S. Securities and Exchange Commission, in its annual reports to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. These statements are subject to uncertainties and risks including, but not limited to, the following: the Company's goals and strategies; the Company's 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 U.S., Hong Kong and China and assumptions underlying or related to any of the foregoing and other risks contained in reports filed by the Company with the 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, 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.

View original content:https://www.prnewswire.com/news-releases/intelligent-living-application-group-inc-announces-1-for-10-share-consolidation-reverse-stock-split-302649602.html

SOURCE Intelligent Living Application Group Inc.

FAQ

What is the reverse stock split ratio for Intelligent Living (ILAG)?

The board set a 1-for-10 share consolidation on Dec 22, 2025.

When will ILAG shares trade on Nasdaq on a post-consolidation basis?

ILAG ordinary shares will trade on a post-consolidation basis starting Dec 30, 2025.

How many ILAG ordinary shares will be outstanding after the reverse split?

Post-consolidation ordinary shares will be approximately 2,077,448 (from 20,769,483 pre-split).

Why is Intelligent Living (ILAG) doing the 1-for-10 consolidation?

The company says the consolidation is primarily to comply with Nasdaq Rule 5550(a)(2) on minimum bid price.

Do ILAG shareholders need to act to receive post-consolidation shares?

No action is required for shares held at brokerage firms; the change will be reflected automatically.

Will ILAG’s CUSIP or par value change after the consolidation?

Yes. New CUSIP is G4804S119 and par value increases from $0.0001 to $0.001 per share.