SharpLink Gaming Announces 1-for-12 Reverse Stock Split
SharpLink Gaming (NASDAQ: SBET) has announced a 1-for-12 reverse stock split of its outstanding common stock, effective for trading on May 6, 2025. The reverse split aims to increase the per share trading price to meet Nasdaq's $1.00 minimum bid price requirement for continued listing. Under the split, every twelve pre-split shares will combine into one share, affecting both common stock and shares issuable through warrants and stock options. The company will maintain its "SBET" trading symbol but operate under a new CUSIP number (820014405). Fractional shares will be rounded to the nearest whole post-split share, with no cash provided for fractions.
SharpLink Gaming (NASDAQ: SBET) ha annunciato un raggruppamento azionario inverso 1-per-12 delle sue azioni ordinarie in circolazione, che entrerà in vigore per la negoziazione a partire dal 6 maggio 2025. Il raggruppamento inverso ha lo scopo di aumentare il prezzo per azione per soddisfare il requisito minimo di prezzo di offerta di Nasdaq di $1,00 per mantenere la quotazione. Con questa operazione, ogni dodici azioni pre-raggruppamento saranno unite in una sola azione, interessando sia le azioni ordinarie sia quelle emesse tramite warrant e opzioni azionarie. La società manterrà il simbolo di negoziazione "SBET" ma opererà con un nuovo numero CUSIP (820014405). Le azioni frazionarie saranno arrotondate all'azione intera più vicina dopo il raggruppamento, senza alcun pagamento in contanti per le frazioni.
SharpLink Gaming (NASDAQ: SBET) ha anunciado una consolidación inversa de acciones de 1 por 12 de sus acciones comunes en circulación, que entrará en vigor para su negociación el 6 de mayo de 2025. La consolidación inversa tiene como objetivo aumentar el precio por acción para cumplir con el requisito mínimo de oferta de $1.00 de Nasdaq para mantener la cotización. Bajo esta operación, cada doce acciones previas a la consolidación se combinarán en una sola acción, afectando tanto las acciones comunes como las acciones emitibles mediante warrants y opciones sobre acciones. La compañía mantendrá su símbolo de cotización "SBET" pero operará bajo un nuevo número CUSIP (820014405). Las acciones fraccionarias se redondearán a la acción entera más cercana después de la consolidación, sin pago en efectivo por las fracciones.
SharpLink Gaming (NASDAQ: SBET)은 1대 12 역병합을 발표했으며, 이는 2025년 5월 6일부터 거래에 적용됩니다. 이번 역병합은 나스닥의 계속 상장 조건인 주당 최소 입찰가 $1.00을 충족시키기 위해 주당 거래 가격을 높이는 것을 목표로 합니다. 병합 후에는 기존 12주가 1주로 합쳐지며, 이는 보통주와 워런트 및 스톡옵션을 통해 발행 가능한 주식 모두에 영향을 미칩니다. 회사는 "SBET" 거래 심볼을 유지하되, 새로운 CUSIP 번호(820014405)로 운영됩니다. 소수점 주식은 병합 후 가장 가까운 정수 주식으로 반올림되며, 소수 주식에 대해 현금 지급은 없습니다.
SharpLink Gaming (NASDAQ : SBET) a annoncé une fusion inversée d’actions au ratio de 1 pour 12 de ses actions ordinaires en circulation, effective pour les échanges à compter du 6 mai 2025. Cette opération vise à augmenter le prix par action afin de respecter l’exigence minimale de prix d’offre de 1,00 $ de Nasdaq pour le maintien de la cotation. Dans le cadre de cette fusion, chaque douze actions avant regroupement seront combinées en une seule action, affectant à la fois les actions ordinaires et celles pouvant être émises via des bons de souscription et des options d’achat. La société conservera son symbole de cotation « SBET » mais opérera sous un nouveau numéro CUSIP (820014405). Les actions fractionnaires seront arrondies à l’action entière la plus proche après le regroupement, sans versement en espèces pour les fractions.
SharpLink Gaming (NASDAQ: SBET) hat eine 1-zu-12-Aktienzusammenlegung seiner ausstehenden Stammaktien angekündigt, die ab dem 6. Mai 2025 für den Handel wirksam wird. Die Aktienzusammenlegung soll den Kurs pro Aktie erhöhen, um die Mindestgebotspreisanforderung von Nasdaq von 1,00 USD für die Fortsetzung der Notierung zu erfüllen. Dabei werden jeweils zwölf alte Aktien zu einer neuen Aktie zusammengefasst, was sowohl Stammaktien als auch Aktien betrifft, die durch Warrants und Aktienoptionen ausgegeben werden können. Das Unternehmen behält sein Handelssymbol "SBET" bei, wird jedoch unter einer neuen CUSIP-Nummer (820014405) geführt. Bruchstücke von Aktien werden auf die nächstgelegene ganze Aktie nach der Zusammenlegung gerundet, es erfolgt keine Barauszahlung für Bruchteile.
- None.
- Company is implementing reverse split to meet Nasdaq's minimum bid requirement of $1.00, indicating current trading price is below compliance levels
- Reverse stock split suggests potential delisting risk if price requirements are not met
- No cash compensation provided for fractional shares
Insights
SharpLink's 1-for-12 reverse split maintains Nasdaq listing compliance without changing company value; shareholders will hold fewer but proportionally higher-valued shares.
SharpLink Gaming's announced 1-for-12 reverse stock split is primarily a technical maneuver designed to boost the company's share price to meet Nasdaq's minimum bid price requirement of
In a reverse split, the number of outstanding shares decreases while the share price increases proportionally. For SharpLink shareholders, every 12 shares currently owned will convert to 1 share after the split takes effect on May 6th. The company's overall market capitalization remains unchanged by this action alone.
Several technical aspects of this announcement deserve attention. First, fractional shares will be rounded down, meaning shareholders not owning multiples of 12 will experience a minor reduction in their proportional ownership. Second, while the split affects outstanding warrants and stock options (their exercise prices will increase and quantities decrease proportionally), the company has chosen not to reduce its authorized share count as permitted under Delaware law. This maintains SharpLink's flexibility for potential future share issuances.
Maintaining Nasdaq listing provides several advantages, including greater liquidity, broader investor access, increased analyst coverage potential, and certain institutional investment eligibility. Delisting would likely reduce trading volume and potentially impact share value.
It's worth noting that while reverse splits are sometimes viewed negatively by markets, they are a legitimate tool for maintaining listing compliance. The effectiveness of this strategy ultimately depends on the company's fundamental business performance moving forward, which isn't addressed in this announcement.
This appears to be a neutral corporate action from a valuation perspective - it adjusts the share structure without directly changing the underlying business fundamentals or total company value. Shareholders should expect to see fewer shares in their accounts but each worth proportionally more after the split date.
MINNEAPOLIS, May 01, 2025 (GLOBE NEWSWIRE) -- SharpLink Gaming, Inc. (Nasdaq: SBET) (“SharpLink” or the “Company”), an online performance-based marketing company serving the U.S. sports betting and global iGaming industries, today announced that it will effect a 1-for-12 reverse stock split of its outstanding common stock. The reverse stock split will be effective for trading purposes as of the commencement of trading on May 6, 2025.
The reverse stock split is intended to increase the per share trading price of SharpLink’s common stock to satisfy the
SharpLink’s transfer agent, Equiniti Trust Company, LLC, which is also acting as the exchange agent for the reverse split, will provide instructions to stockholders regarding the process for exchanging share certificates. Any fractional shares of common stock resulting from the reverse stock split will be rounded to the nearest whole post-split share (half shares will be rounded down) and no stockholders will receive cash in lieu of fractional shares. For assistance from Equiniti, please call 877-248-6417 or 718-921-8317.
About SharpLink Gaming, Inc.
Headquartered in Minneapolis, Minnesota, SharpLink is a trusted marketing partner to leading sportsbooks and online casino gaming operators worldwide. Through its iGaming affiliate marketing network, known as PAS.net, SharpLink focuses on driving qualified traffic and player acquisitions, retention and conversions to U.S. regulated and global iGaming operator partners worldwide. In fact, PAS.net won industry recognition as the European online gambling industry’s Top Affiliate Website and Top Affiliate Program for four consecutive years by both igamingbusiness.com and igamingaffiliate.com. SharpLink also owns and operates a portfolio of direct-to-player, state-specific, affiliate marketing websites designed to attract, acquire and drive local sports betting and online casino gaming traffic to its valued partners which are licensed to operate in each respective state. For more information, please visit www.sharplink.com.
Forward-Looking Statements
This release contains forward-looking statements that are subject to various risks and uncertainties. Such statements include statements regarding the Company’s ability to grow its business through strategic growth opportunities, the potential benefits of the Company’s products, services and technologies and other statements that are not historical facts, including statements which may be accompanied by the words “intends,” “may,” “will,” “plans,” “expects,” “anticipates,” “projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,” “potential” or similar words. Actual results could differ materially from those described in these forward-looking statements due to certain factors, including without limitation, the Company’s ability to achieve profitable operations, government regulation of online betting, customer acceptance of new products and services, the demand for its products and its customers’ economic condition, the impact of competitive products and pricing, the lengthy sales cycle, proprietary rights of the Company and its competitors, general economic conditions and other risk factors detailed in the Company’s annual report and other filings with the SEC. The Company does not undertake any responsibility to update the forward-looking statements in this release.
CONTACT INFORMATION:
INVESTOR AND MEDIA RELATIONS
ir@sharplink.com
FAQ
What is the reverse stock split ratio for SharpLink Gaming (SBET) and when is it effective?
Why is SharpLink Gaming (SBET) conducting a reverse stock split?
Will SBET shareholders receive cash for fractional shares after the reverse split?
Will SharpLink Gaming's stock symbol change after the reverse split?
How will the reverse split affect SBET's outstanding warrants and stock options?
