STOCK TITAN

LZ Technology (LZMH) enacts 1-for-20 reverse split to support Nasdaq bid price

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(Neutral)
Filing Sentiment
(Neutral)
Form Type
6-K

Rhea-AI Filing Summary

LZ Technology Holdings Limited is implementing a 1-for-20 reverse share split of both its Class A and Class B ordinary shares, approved by shareholders and the board. The goal is to lift the trading price of the Class B shares to meet Nasdaq’s $1.00 minimum bid price requirement for continued listing.

Starting May 22, 2026, Class B shares will trade on a split-adjusted basis under the symbol LZMH with a new par value of US$0.0005 per share and a new CUSIP. Every twenty ordinary shares will automatically combine into one share, with fractional positions rounded up to the nearest whole share. Issued and outstanding Class A shares will move from 22,500,000 to about 1,125,000, and Class B shares from 157,070,000 to about 7,853,500.

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Insights

Reverse split restructures share count to support Nasdaq bid-price compliance.

The company is executing a 1-for-20 reverse share split across both share classes, sharply reducing the number of shares outstanding while keeping ownership percentages unchanged. This kind of action typically targets a higher per-share trading price without raising new capital.

Before the change, Class A shares totaled 22,500,000 and Class B 157,070,000 issued and outstanding; afterward, they are expected to be about 1,125,000 and 7,853,500, respectively. The company explicitly links the move to satisfying Nasdaq’s $1.00 minimum bid price requirement for continued listing, so the practical impact will depend on post-split trading levels.

Reverse split ratio 1-for-20 Reverse share split of Class A and Class B shares
Class A shares before split 22,500,000 shares Issued and outstanding prior to reverse split
Class A shares after split 1,125,000 shares Approximately issued and outstanding after reverse split
Class B shares before split 157,070,000 shares Issued and outstanding prior to reverse split
Class B shares after split 7,853,500 shares Approximately issued and outstanding after reverse split
Minimum bid price target $1.00 per share Nasdaq minimum bid price requirement
New par value US$0.0005 per share Par value of Class B after reverse split
reverse share split financial
"announced that the shareholders and the board of directors of the Company approved a one-for-twenty reverse share split"
A reverse share split is when a company reduces the number of its shares outstanding by combining multiple shares into one, effectively increasing the price of each share. For investors, this can help improve the company's image or meet stock exchange listing requirements, but it does not change the total value of their investment. It’s similar to turning many small pieces of a puzzle into fewer larger pieces—nothing new is added or lost, just rearranged.
Class A ordinary shares financial
"reverse share split of the Company’s issued and unissued Class A ordinary shares"
Class A ordinary shares are a type of ownership stake in a company that typically grants voting rights to shareholders, allowing them to have a say in important company decisions. They often come with priority in receiving dividends or profits, making them attractive to investors seeking influence and potential income. These shares help distinguish different levels of ownership and rights within a company's stock structure.
Class B ordinary shares financial
"Beginning May 22, 2026, the Company’s Class B Ordinary Shares will be trading on a split-adjusted basis"
Class B ordinary shares are a type of ownership stake in a company that typically come with different voting rights or privileges compared to other share classes. For investors, they represent a way to hold part of the company’s value and influence its decisions, often with fewer voting rights than Class A shares. Understanding these shares helps investors assess their level of control and potential returns within a company.
minimum bid price requirement regulatory
"to satisfy the $1.00 minimum bid price requirement for continued listing on the NASDAQ Stock Market"
A minimum bid price requirement is a rule that a stock must trade above a set price for a specified period to stay listed on an exchange. It matters to investors because falling below that threshold can trigger warnings or removal from the exchange, which can cut liquidity, reduce visibility, and often lead to sharper declines in share value—think of it like a venue’s minimum dress code that, if not met, can bar a performer from the stage.
Safe Harbor Statement regulatory
"Safe Harbor Statement Certain statements in this release constitute forward-looking statements"
A safe harbor statement is a disclaimer that companies include in their public disclosures to limit legal liability if future results differ from what was forecasted or expected. It acts like a protective shield, helping companies avoid lawsuits if their predictions don’t come true, and gives investors a clearer understanding that certain statements are forward-looking and involve risks.

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 6-K

 

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16 OF THE

SECURITIES EXCHANGE ACT OF 1934

 

For the month of May 2026

 

Commission File Number 001-42528

 

LZ TECHNOLOGY HOLDINGS LIMITED

(Translation of registrant’s name into English)

 

Unit 311, Floor 3, No. 5999 Wuxing Avenue, Zhili Town, Wuxing District

Huzhou City, Zhejiang province, People’s Republic of China 313000

(Address of principal executive offices) 

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

 

Form 20-F ☒       Form 40-F ☐

 

 

 

 

 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

Date: May 20, 2026 LZ TECHNOLOGY HOLDINGS LIMITED
     
  By: /s/ Runzhe Zhang
    Runzhe Zhang
    Chief Executive Officer

 

1

 

 

EXHIBIT INDEX

 

Exhibit No.   Description of Exhibit
99.1   Press Release issued on May 20, 2026

 

2

 

Exhibit 99.1

 

LZ Technology Holdings Limited Announces 1-for-20 Reverse Share Split

 

Xiamen, China, May 20, 2026 - LZ Technology Holdings Limited (Nasdaq: LZMH, the “Company”), today announced that the shareholders and the board of directors of the Company approved a one-for-twenty reverse share split of the Company’s issued and unissued Class A ordinary shares (the “Class A Ordinary Shares”) and Class B ordinary shares (the “Class B Ordinary Shares”). Beginning May 22, 2026, the Company’s Class B Ordinary Shares will be trading on a split-adjusted basis under the same symbol “LZMH” but with a new CUSIP number, G57Y3D117, and a new par value of US$0.0005 per share.

 

As a result of the reverse share split, each twenty ordinary shares outstanding will automatically combine and convert to one issued and outstanding ordinary share without any action on the part of shareholders who hold their shares in brokerage accounts or “street name.” Shareholders holding certificates of ordinary shares are expected to receive instructions from the Company’s transfer agent, Transhare Corporation, regarding procedures for exchanging share certificates. No fractional shares will be issued as a result of the reverse share split, and instead, all such fractional shares resulting from the reverse share split will be rounded up to the nearest whole share.

 

The reverse share split is intended to increase the per share trading price of the Class B Ordinary Shares to satisfy the $1.00 minimum bid price requirement for continued listing on the NASDAQ Stock Market. Prior to the reverse share split, the Company has 22,500,000 Class A Ordinary Shares and 157,070,000 Class B Ordinary Shares issued and outstanding. Following the reverse share split, the Company will have approximately 1,125,000 Class A Ordinary Shares and 7,853,500 Class B Ordinary Shares issued and outstanding, and the Company will have 160,000,000 authorized Class A Ordinary Shares and 3,760,000,000 authorized Class B Ordinary Shares.

 

About LZ Technology Holdings Limited

 

LZ Technology Holdings Limited is an information technology and advertising company operating through its subsidiaries in China. The Company’s business spans three key verticals: Smart Community, Out-of-Home Advertising, and Local Life. Its Smart Community services provide intelligent access control and safety management systems, installed in thousands of residential communities in China. Its Out-of-Home Advertising division offers multi-channel advertising solutions through a vast network of monitors across approximately 120 cities in China, with ad placements on access control screens, SaaS platforms, and third-party advertising spaces. The Company’s Local Life vertical connects businesses with consumers through online promotions, social media marketing, and retail sales of various products and services. LZ Technology is committed to providing high-quality services to communities and businesses.

 

Safe Harbor Statement

 

Certain statements in this release constitute forward-looking statements, within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. The words “believe,” “forecast,” “project,” “intend,” “expect,” “plan,” “should,” “would,” and similar expressions and all statements, which are not historical facts, are intended to identify forward-looking statements. These forward-looking statements involve and are subject to known and unknown risks, uncertainties and other factors, any of which could cause the Company to not achieve some or all of its goals or the Company’s previously reported actual results, performance (finance or operating), including those expressed or implied by such forward-looking statements. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company’s filings with the Securities and Exchange Commission (the “SEC”), copies of which may be obtained from the SEC’s website at www.sec.gov. The Company assumes no, and hereby disclaims any, obligation to update the forward-looking statements contained in this press release, other than as required by applicable law.

 

For further information, please contact:

 

Michael Wu
Investor Relations
LZ Technology Holdings Limited
michael@lzmh.co 

 

FAQ

What reverse share split did LZMH approve in this Form 6-K?

LZ Technology Holdings Limited approved a 1-for-20 reverse share split for its Class A and Class B ordinary shares. Every twenty existing shares will automatically combine into one new share, maintaining proportional ownership while reducing the shares outstanding significantly.

When will LZMH shares begin trading on a split-adjusted basis?

LZ Technology’s Class B ordinary shares will trade on a split-adjusted basis starting May 22, 2026. The shares will continue under the symbol LZMH but will have a new CUSIP number and a new par value of US$0.0005 per share after the reverse split.

How does the reverse split affect LZMH shares outstanding?

Before the reverse split, LZ Technology had 22,500,000 Class A and 157,070,000 Class B shares issued and outstanding. After the 1-for-20 split, these will be about 1,125,000 Class A and 7,853,500 Class B shares, reducing the share count while keeping ownership proportions the same.

Will LZMH issue fractional shares in the reverse split?

No, LZ Technology will not issue fractional shares in the reverse split. Any fractional positions created when twenty old shares convert to one new share will be rounded up to the nearest whole share, simplifying holdings for affected shareholders.

Why is LZMH conducting a reverse share split of its stock?

The company states the reverse share split is intended to increase the per share trading price of its Class B ordinary shares. This higher price is targeted to help satisfy Nasdaq’s US$1.00 minimum bid price requirement for continued listing on the Nasdaq Stock Market.

What are LZMH’s authorized share amounts after the reverse split?

Following the reverse share split, LZ Technology will have 160,000,000 authorized Class A ordinary shares and 3,760,000,000 authorized Class B ordinary shares. These figures describe the maximum shares the company is authorized to issue, not the number currently outstanding.

Filing Exhibits & Attachments

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