STOCK TITAN

Warrant terms reset after reverse split at MultiSensor AI (NASDAQ: MSAI)

Filing Impact
(Moderate)
Filing Sentiment
(Neutral)
Form Type
8-K

Rhea-AI Filing Summary

MultiSensor AI Holdings, Inc. adjusted the terms of previously issued warrants after completing a 1-for-40 reverse stock split of its common stock. The reverse split became effective on April 13, 2026, converting every forty shares into one share without changing par value.

The warrants were originally issued in October 2025 for up to 68,459,652 shares at an exercise price of $0.409 per share, with anti-dilution features tied to share combination events. Following the reverse split and the related adjustment period, the warrant exercise price was reset to $5.98 per share and the total number of shares issuable under the warrants was proportionately adjusted to 4,682,273.85 shares, effective as of the close of trading on April 17, 2026.

Positive

  • None.

Negative

  • None.
Item 3.02 Unregistered Sales of Equity Securities Securities
The company sold equity securities in a private placement or other unregistered transaction.
Original warrant coverage 68,459,652 shares Common stock issuable under warrants from October 24, 2025 agreement
Original exercise price $0.409 per share Initial warrant exercise price before reverse stock split
Reverse stock split ratio 1-for-40 Every forty common shares converted into one share on April 13, 2026
New warrant exercise price $5.98 per share Reset warrant exercise price after split, effective April 17, 2026 close
Adjusted warrant coverage 4,682,273.85 shares Total common shares issuable under warrants after adjustment
Minimum pre-split exercise price $0.14944 per share Floor for warrant exercise price before reverse stock split
Minimum post-split exercise price $5.9776 per share Corresponding floor after 1-for-40 reverse stock split
Reverse split effective time 12:01 a.m. Eastern Time Effective time of reverse stock split on April 13, 2026
Reverse Stock Split financial
"to effect the reverse stock split at a ratio of 1-for-40 (the “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.
Share Combination Event financial
"other similar transaction involving the Company’s Common Stock (each, a “Share Combination Event”),"
volume weighted average price financial
"if the lowest daily volume weighted average price of the Company’s Common Stock during the five trading days"
The volume weighted average price (VWAP) is a way to measure the average price of a security, such as a stock, over a specific period, taking into account how many units were traded at each price. It’s similar to calculating the average cost of items bought when some are more frequently purchased than others. Investors use VWAP to assess whether a security is being bought or sold at a fair price during trading.
Event Market Price financial
"such event (the “Share Combination Adjustment Period” and such price the “Event Market Price”)"
Emerging growth company regulatory
"Emerging growth company x x Item 3.02 Unregistered Sales of Equity Securities."
An emerging growth company is a recently public or smaller public firm that qualifies for temporary, lighter regulatory and disclosure rules to reduce the cost and effort of being public. For investors, it means the company may provide less historical financial detail and face fewer reporting requirements than larger firms, so it can grow more quickly but also carries higher uncertainty—like buying a promising early-stage product with fewer user reviews.
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

 

Date of Report (Date of earliest event reported): April 17, 2026

 

MultiSensor AI Holdings, Inc.

(Exact name of registrant as specified in its charter)

 

Delaware

(State or other jurisdiction
of incorporation)

001-40916

(Commission File Number)

86-3938682

(I.R.S. Employer
Identification No.)

 

24 Greenway Plaza, Suite 1800

Houston, Texas 77046

(Address of principal executive offices, including zip code)

 

(866) 861-0788

(Registrant’s telephone number, including area code)

 

Not Applicable

(Former name or former address, if changed since last report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

¨Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading Symbol(s)

 

Name of each exchange
on which registered

Common stock, $0.0001 par value per share   MSAI   The Nasdaq Stock Market LLC
Warrants to purchase common stock   MSAIW   The Nasdaq Stock Market LLC

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

 

Emerging growth company x

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. x 

 

 

 

 

 

 

Item 3.02 Unregistered Sales of Equity Securities.

 

As previously disclosed, on October 24, 2025, MultiSensor AI Holdings, Inc. (the “Company”) entered into a securities purchase agreement with certain investors (collectively, the “Investors”), pursuant to which the Company sold to the Investors shares of the Company’s common stock, par value $0.0001 per share (the “Common Stock”), and warrants (the “Warrants”) to purchase up to an aggregate of 68,459,652 shares of Common Stock at an exercise price of $0.409 per share. Pursuant to the Warrants, the exercise price and number of shares of Common Stock issuable upon exercise of the Warrants proportionately adjust upon the occurrence of a share split, reverse share split, share dividend, share combination recapitalization or other similar transaction involving the Company’s Common Stock (each, a “Share Combination Event”), and if the lowest daily volume weighted average price of the Company’s Common Stock during the five trading days immediately following such event (the “Share Combination Adjustment Period” and such price the “Event Market Price”), is less than the current exercise price of the Warrants, the exercise price will be reduced (but in no event increased) to the Event Market Price and the number of shares of Common Stock issuable upon exercise will be proportionately increased such that the aggregate exercise price of the Warrants will be equal to the aggregate exercise price payable under the Warrants. Notwithstanding the foregoing, the exercise price shall not be reduced below $0.14944 per share ($5.9776 following the Reverse Stock Split (as defined below)).

 

On April 8, 2026, the Company filed a Certificate of Amendment with the Secretary of State of the State of Delaware to effect the reverse stock split at a ratio of 1-for-40 (the “Reverse Stock Split”). The Reverse Stock Split became effective at 12:01 a.m. Eastern Time on April 13, 2026, at which time every forty shares of the Company’s then issued and outstanding Common Stock automatically converted into one share of Common Stock, without any change in the par value per share.

 

As a result of the Reverse Stock Split and following the resulting Share Combination Adjustment Period, the exercise price of the Warrants was readjusted to $5.98 per share and the total number of shares of Common Stock issuable upon exercise of the Warrants was proportionately increased to 4,682,273.85 shares of the Company’s Common Stock, effective as of the close of trading on April 17, 2026.

 

 

 

 

SIGNATURE

 

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

 

  MultiSensor AI Holdings, Inc.
     
Date: April 21, 2026 By: /s/ Robert Nadolny
  Name: Robert Nadolny
  Title: Chief Financial Officer and Secretary

 

 

 

FAQ

What did MultiSensor AI Holdings (MSAI) change about its warrants?

MultiSensor AI Holdings adjusted the exercise price and share count of existing warrants after a 1-for-40 reverse stock split. The reset keeps the overall economic value of the warrants consistent by changing both the price per share and number of shares issuable.

How did the reverse stock split affect MSAI common shares?

The reverse stock split converted every forty shares of MultiSensor AI common stock into one share on April 13, 2026. The par value per share remained unchanged, meaning only the number of shares outstanding and related per-share figures were mechanically adjusted.

What are the new warrant terms for MultiSensor AI (MSAI)?

After the reverse stock split and adjustment period, the warrants now have an exercise price of $5.98 per share and are exercisable for 4,682,273.85 common shares. These changes became effective as of the close of trading on April 17, 2026, aligning with the split ratio.

What were the original warrant terms before MSAI’s reverse stock split?

Originally, the company’s warrants allowed investors to purchase up to 68,459,652 common shares at an exercise price of $0.409 per share. The warrants included provisions to proportionately adjust both exercise price and share count if share combination events like a reverse stock split occurred.

What is the minimum exercise price protection mentioned for MSAI warrants?

The warrants include a floor so the exercise price cannot be reduced below $0.14944 per share, which corresponds to $5.9776 per share after the 1-for-40 reverse stock split. This floor limits how far the exercise price can adjust downward after qualifying share combination events.

When did MultiSensor AI’s reverse stock split become effective?

The reverse stock split became effective at 12:01 a.m. Eastern Time on April 13, 2026. From that time, every forty previously issued and outstanding common shares automatically converted into one share, triggering the warrant adjustment mechanics described in the agreement.

Filing Exhibits & Attachments

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