Vision Marine Technologies Announces Reverse Stock Split

Rhea-AI Summary

Vision Marine Technologies (NASDAQ: VMAR) announced a 1-for-40 reverse stock split of its common shares, effective at market open on January 14, 2026. The reverse split reduces issued and outstanding shares from approximately 37,008,735 pre-split to approximately 925,218 post-split and will not change the number of authorized shares or par value. The new post-split CUSIP will be 92840Q400. The primary stated purpose is to increase the per-share market price to address potential non-compliance with Nasdaq's $1.00 minimum bid requirement under Listing Rule 5550(a)(2). Equity awards and plan share amounts will be proportionally adjusted; no fractional shares will be issued and shareholders holding through brokers will have positions automatically adjusted.

Positive

• Reverse split set at 1-for-40, effective Jan 14, 2026
• Issued shares reduced to approximately 925,218 post-split
• New CUSIP established as 92840Q400
• Equity awards and plan shares to receive proportionate adjustments

Negative

• Action taken to address potential non-compliance with Nasdaq $1.00 minimum bid rule
• Reverse split reduces share count dramatically, which may affect liquidity

News Market Reaction – VMAR

-24.03%

13 alerts

-24.03% News Effect

-39.0% Trough in 30 hr 26 min

-$1M Valuation Impact

$5M Market Cap

0.2x Rel. Volume

On the day this news was published, VMAR declined 24.03%, reflecting a significant negative market reaction. Argus tracked a trough of -39.0% from its starting point during tracking. Our momentum scanner triggered 13 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $1M from the company's valuation, bringing the market cap to $5M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Reverse split ratio: 1-for-40 Pre-split shares: 37,008,735 shares Post-split shares: 925,218 shares +3 more

6 metrics

Reverse split ratio 1-for-40 Board-approved reverse stock split of common shares

Pre-split shares 37,008,735 shares Approximate issued and outstanding common shares pre-split

Post-split shares 925,218 shares Approximate issued and outstanding common shares post-split

Nasdaq minimum bid $1.00 per share Minimum bid price requirement under Nasdaq Listing Rule 5550(a)(2)

Effective date January 14, 2026 Reverse split effective when market opens on this date

Split consolidation 40-to-1 Every 40 common shares consolidated into one common share

Market Reality Check

Price: $2.38 Vol: Volume 3390902 is below t...

low vol

$2.38 Last Close

Volume Volume 3390902 is below the 20-day average of 31075432, suggesting muted pre-news trading interest. low

Technical Shares trade below the 200-day moving average of 3.76, indicating a prolonged downtrend before the reverse split.

Peers on Argus

VMAR is up modestly ahead of the reverse split, while key peer VEEE appears in m...

1 Down

VMAR is up modestly ahead of the reverse split, while key peer VEEE appears in momentum scanners with a down move and no related news, and other peers show mixed, smaller moves. This points to stock-specific factors rather than a sector-wide move.

Historical Context

5 past events · Latest: Dec 19 (Negative)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 19	Public offering close	Negative	+4.4%	Closing of best-efforts public offering with 32M units at $0.30.
Dec 17	Offering pricing	Negative	-48.8%	Pricing of 32M-unit public offering at $0.30 per unit.
Dec 09	Strategic marina lease	Positive	-20.4%	Securing flagship marina lease with expansion plans in Florida.
Nov 28	FY results & expansion	Neutral	+0.0%	Reporting FY 2025 results and Nautical Ventures acquisition impact.
Nov 18	Sales lift update	Positive	+1.6%	Reporting 40% YoY sales lift for Nautical Ventures around FLIBS 2025.

Pattern Detected

Recent financing and strategic growth updates have often seen mixed or even negative short-term price reactions, with offerings especially pressured while some growth news has not been rewarded.

Recent Company History

Over the last several months, Vision Marine combined capital raises with expansion initiatives. In November 2025, it reported FY 2025 results and highlighted the Nautical Ventures acquisition, which contributed US$12.8 million revenue and reduced floor-plan financing. Subsequent news included a strategic marina lease and a 40% sales lift around FLIBS 2025, but price reactions were mixed. In December 2025, the company pursued public offerings totaling 32,000,000 units, with one pricing announcement followed by a sharp selloff. Today’s reverse split fits an ongoing effort to stabilize listing status after heavy dilution and price pressure.

Market Pulse Summary

The stock dropped -24.0% in the session following this news. A negative reaction despite the complia...

Analysis

The stock dropped -24.0% in the session following this news. A negative reaction despite the compliance-focused rationale fits a pattern where reverse splits are viewed cautiously by shareholders. The 1-for-40 split cuts outstanding shares from about 37,008,735 to 925,218 to address the $1.00 Nasdaq bid requirement, but it does not change fundamentals. Combined with recent offerings and past reverse-split history, investors may have focused on prior dilution and longer-term execution risks.

Key Terms

reverse stock split, cusip, par value, fractional shares

4 terms

reverse stock split financial

"approved 1 for 40 reverse stock split of the Company's common shares."

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.

cusip financial

"The new CUSIP number for the Company's common shares following the reverse stock split will be 92840Q400."

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.

par value financial

"will not decrease the number of authorized common shares ... or otherwise affect the par value of the common 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.

fractional shares financial

"No fractional shares of our common shares will be issued in connection with the reverse stock split."

Fractional shares are portions of a whole share of a stock or fund, allowing investors to own less than one full unit. They make it possible to invest a specific dollar amount rather than buy whole shares, like buying a slice of a pizza instead of the entire pie. For investors this lowers the cost barrier, helps with diversification, and lets you reinvest dividends or purchase expensive stocks in small, precise amounts.

AI-generated analysis. Not financial advice.

MONTREAL, Jan. 12, 2026 /PRNewswire/ -- Vision Marine Technologies Inc. (NASDAQ: VMAR), today announced that the Company's board of directors (the "Board") approved 1 for 40 reverse stock split of the Company's common shares. The reverse stock split is expected to become effective when the market opens on January 14, 2026 (the "Effective Date") and the Company's common shares will begin trading on a split-adjusted basis under the existing trading symbol "VMAR." The new CUSIP number for the Company's common shares following the reverse stock split will be 92840Q400.

The Board of Directors of Vision Marine has approved a reverse stock split, which will reduce the issued and outstanding common shares from approximately 37,008,735 common shares pre-split to approximately 925,218 common shares post-split, subject to adjustment resulting from the rounding of fractional shares to the nearest whole number.

The primary goal of the reverse stock split is to increase the per share market price of the Company's common shares in an effort to avoid non-compliance with the minimum $1.00 bid price per share requirement of Nasdaq Listing Rule 5550(a)(2). On December 26, 2025, the Board approved the reverse stock split at the ratio of 1-for-40 and on January 2nd, 2026, the Board approved the Effective Date.

As a result of the reverse stock split, every forty (40) common shares of the Company issued and outstanding will be automatically consolidated into one common share. Proportionate adjustments will be made to the exercise prices and the number of shares underlying the Company's outstanding equity awards, as applicable, as well as to the number of shares issuable under the Company's equity incentive plans. The common shares issued pursuant to the reverse stock split will remain fully paid and non-assessable. The reverse stock split will not decrease the number of authorized common shares (which shall remain limitless) or otherwise affect the par value of the common shares.

No fractional shares of our common shares will be issued in connection with the reverse stock split. Shareholders will be issued one whole common share in exchange for any fractional interest that such shareholder would have otherwise received as a result of the reverse stock split.

Odyssey Transfer and Trust Company, the Company's transfer agent, is acting as the exchange agent for the reverse stock split. Shareholders holding their common shares electronically in book-entry form and shareholders who hold their shares through a bank, broker, or other nominee will not need to take any action. Shareholders owning common shares through a bank, broker, or other nominee will have their positions adjusted to reflect the reverse stock split.

About Vision Marine Technologies, Inc. 
Vision Marine Technologies (NASDAQ: VMAR) is a marine technology and retail group delivering premium boating experiences across internal combustion and electric segments. Through its E-Motion™ high-voltage propulsion platform and its Nautical Ventures retail network, Vision Marine offers an integrated ecosystem spanning propulsion, retail, service, and on-water consumer engagement.

Forward Looking Statements
This press release contains forward-looking statements within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements include predictions, expectations, estimates, and other information that might be considered future events or trends, not relating to historical matters. These statements involve known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to differ materially from those expressed or implied by such statements. Vision Marine's Annual Report on Form 20-F, as amended, for the year ended August 31, 2025, and its periodic filings with the SEC provide a detailed discussion of these risks and uncertainties. There can be no assurance that Vision Marine will be able to complete the offering on the anticipated terms, or at all. Vision Marine does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.

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SOURCE Vision Marine Technologies, Inc

FAQ

What is the reverse stock split ratio for Vision Marine Technologies (VMAR)?

The Board approved a 1-for-40 reverse split of common shares.

When will the VMAR reverse stock split become effective?

The reverse split is expected to be effective when the market opens on January 14, 2026.

How many Vision Marine shares will be outstanding after the VMAR reverse split?

Issued and outstanding common shares will be reduced from ~37,008,735 to ~925,218 post-split.

Why did Vision Marine (VMAR) approve the reverse stock split?

The primary goal is to raise the per-share market price to avoid potential non-compliance with Nasdaq Listing Rule 5550(a)(2) requiring a $1.00 minimum bid.

Will VMAR issue fractional shares after the reverse split?

No fractional shares will be issued; shareholders will receive one whole share in lieu of any fractional interest.

Do VMAR shareholders need to take action for the reverse split if held through a broker?

No action is required; positions held electronically or through brokers will be automatically adjusted by the transfer agent.