Snail Announces Reverse Stock Split to Support Effort to Regain Compliance with Nasdaq’s Minimum Bid Price
Rhea-AI Summary
Snail (Nasdaq: SNAL) approved a 1-for-5 reverse stock split of its Class A and Class B common stock, effective 11:59 p.m. ET on July 2, 2026. Split-adjusted trading begins July 6, 2026, with a new CUSIP 83301J308 for Class A shares.
The split will reduce outstanding shares from about 15.47M to 3.09M Class A and from 28.75M to 5.75M Class B, with ownership percentages largely unchanged except for fractional shares. Snail aims to support efforts to regain compliance with Nasdaq’s $1.00 minimum bid price requirement.
Positive
- 1-for-5 reverse split to support Nasdaq $1.00 bid-price compliance effort
- Outstanding shares cut from about 44.2M to 8.8M post-split
- Shareholder ownership percentages remain substantially unchanged, aside from fractional shares
- Proportional adjustments preserve economics of options, warrants, and convertible notes
Negative
- Stockholders otherwise entitled to fractional shares will receive cash instead of stock
- Reverse split does not reduce total authorized common shares
News Market Reaction – SNAL
On the day this news was published, SNAL declined 1.18%, reflecting a mild negative market reaction. Argus tracked a peak move of +16.0% during that session. This price movement removed approximately $323K from the company's valuation, bringing the market cap to $27.08M at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Jun 25 | Content update news | Positive | -4.3% | Announced new PixARK DLC, deep discounts, and upcoming ARK franchise launches. |
| Jun 10 | Game launch update | Positive | -2.7% | Launched Bellwright on consoles and showcased new ARK content at IGN Live. |
| Jun 02 | Franchise milestone | Positive | -2.5% | Shared ARK 11-year anniversary, Q1 2026 unit sales and multi-year roadmap. |
| May 22 | Partnership progress | Positive | -3.5% | Highlighted progress with Polish studio partners and Bellwright’s sales milestone. |
| May 14 | Market expansion | Positive | +115.1% | Detailed LATAM expansion efforts and ARK franchise sales and download metrics. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
SNAL has frequently traded lower following otherwise positive operational and partnership news.
Key Terms
reverse stock split financial
class a common stock financial
class b common stock financial
cusip financial
convertible notes financial
nasdaq capital market regulatory
AI-generated analysis. How Rhea-AI works. Not financial advice.
CULVER CITY, Calif., July 01, 2026 (GLOBE NEWSWIRE) -- Snail, Inc. (Nasdaq: SNAL) (“Snail” or the “Company”), a leading global independent developer and publisher of interactive digital entertainment, today announced that it will effect a 1-for-5 reverse stock split (the “Reverse Stock Split”) of its Class A Common Stock, par value
On June 2, 2026, a written consent was delivered to the Company’s Board of Directors from the holders of
The Reverse Stock Split will proportionally reduce the number of outstanding shares of Common Stock from approximately 15,468,890 shares of Class A Common Stock and 28,748,580 shares of Class B Common Stock to approximately 3,093,778 shares of Class A Common Stock and 5,749,716 shares of Class B Common Stock. The ownership percentage of each stockholder will remain unchanged other than as a result of fractional shares. Proportional adjustments will be made to the number of shares of Common Stock issuable upon exercise of outstanding warrants or options, or the conversion of outstanding convertible notes, as well as to the applicable exercise or conversion price. There will be no change to the total number of authorized shares of Common Stock as set forth in the Certificate of Incorporation. Stockholders whose shares are held in brokerage accounts should direct any questions concerning the Reverse Stock Split to their broker. All stockholders of record may direct questions to the Company’s transfer agent, Equiniti Trust Company, LLC at 800-468-9716.
The Reverse Stock Split is intended to support the Company’s effort to regain compliance with the minimum bid price requirement for maintaining the listing of its Class A Common Stock on the Nasdaq Capital Market, and to make the bid price more attractive to a broader group of institutional and retail investors. The Nasdaq Capital Market requires, among other things, that a listed company’s common stock maintain a minimum bid price of at least
Any person who would otherwise be entitled to a fractional share of Common Stock as a result of the reclassification and combination following the Effective Time (after taking into account all fractional shares of Common Stock otherwise issuable to such holder) shall be entitled to receive a cash payment equal to the number of shares of the Common Stock held by such stockholder before the reverse split that would otherwise have been exchanged for such fractional share interest multiplied by the average closing sales price of the Common Stock as reported on the Nasdaq for the ten days preceding the Effective Time.
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About Snail, Inc.
Snail, Inc. (Nasdaq: SNAL) is a leading global independent developer and publisher of interactive digital entertainment for consumers around the world, with a premier portfolio of premium games designed for use on a variety of platforms, including consoles, PCs, and mobile devices. For more information, please visit: https://snail.com/
Forward-Looking Statements
This press release contains statements that constitute forward-looking statements. Many of the forward-looking statements contained in this press release can be identified by the use of forward-looking words such as “anticipate,” “believe,” “could,” “expect,” “should,” “plan,” “intend,” “may,” “predict,” “continue,” “estimate” and “potential,” or the negative of these terms or other similar expressions. Forward-looking statements appear in a number of places in this press release and include, but are not limited to, statements regarding the Reverse Stock Split allowing the Company to regain compliance with Nasdaq’s minimum bid price requirement, enabling the Company to attract a broader universe of investors; and assumptions underlying any of the foregoing.
Further information on risks, uncertainties and other factors that could affect Snail’s financial results and business include Snail’s ability to strengthen its gaming portfolio’s visibility; Snail’s ability to expand and grow its franchise and increase its revenue; Snail’s ability to retain its key employees or maintain its Nasdaq listing; and the risks that are included in its filings with the Securities and Exchange Commission (the “SEC”) from time to time, including its annual reports on Form 10-K and quarterly reports on Form 10-Q filed, or to be filed, with the SEC. You should not rely on these forward-looking statements, as actual outcomes and results may differ materially from those expressed or implied in the forward-looking statements as a result of such risks and uncertainties. All forward-looking statements in this press release are based on management’s beliefs and assumptions and on information currently available to Snail, and Snail does not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made.
Investor Contact
John Yi and Steven Shinmachi
Gateway Group, Inc.
949-574-3860
SNAL@gateway-grp.com
