Service Properties Trust (SVC) completes 1-for-5 reverse share split and cuts share count
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Service Properties Trust implemented a reverse share split of its common shares on July 6, 2026. Every five common shares of beneficial interest, par value $0.01 per share, were converted into one common share of beneficial interest, par value $0.05 per share, effective at 4:01 p.m. Eastern Time, with cash paid in lieu of fractional shares.
At 4:02 p.m. Eastern Time, the par value of the common shares was changed back to $0.01 per share. The transaction reduced the number of issued and outstanding common shares from approximately 647.64 million to approximately 129.53 million, while leaving each record holder’s percentage ownership generally unchanged, other than minor effects from cash in place of fractional shares. The common shares now trade under a new CUSIP number, 81761L 201.
Positive
- None.
Negative
- None.
8-K Event Classification
2 items: 5.03, 9.01
2 items
Item 5.03
Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year
Governance
The company amended its charter documents, bylaws, or changed its fiscal year.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Reverse split ratio: 1-for-5
Shares outstanding before split: approximately 647.64 million shares
Shares outstanding after split: approximately 129.53 million shares
+4 more
7 metrics
Reverse split ratio
1-for-5
Every five common shares converted into one
Shares outstanding before split
approximately 647.64 million shares
Issued and outstanding common shares pre-split
Shares outstanding after split
approximately 129.53 million shares
Issued and outstanding common shares post-split
Par value at split time
$0.05 per share
Temporary par value after conversion at 4:01 p.m.
Restored par value
$0.01 per share
Par value after second amendment at 4:02 p.m.
Effective split time
4:01 p.m. Eastern Time
Reverse share split effectiveness on July 6, 2026
New CUSIP
81761L 201
CUSIP for common shares post-split
Key Terms
Reverse Share Split, Articles of Amendment, Declaration of Trust, fractional shares, +1 more
5 terms
Articles of Amendment regulatory
"pursuant to Articles of Amendment to our Amended and Restated Declaration"
Articles of amendment are official documents a corporation files with the government to record changes to its foundational details, such as its name, share structure, authorized capital, or bylaws. Think of them like updating a company’s recipe or blueprint so everyone knows the new ingredients and rules; investors use them to track structural shifts that can affect ownership, voting power, dilution risk, or a company’s strategic flexibility.
Declaration of Trust regulatory
"Articles of Amendment to our Amended and Restated Declaration of Trust"
A declaration of trust is a legal document that spells out who holds assets on behalf of others, what duties the holder has, and how income or profits are shared among beneficiaries. For investors it matters because it clarifies who controls the asset, how returns and losses will be allocated, and what rules govern distributions—think of it like a written instruction that tells a custodian how to manage and split the proceeds so investors know their rights and risks.
CUSIP number market
"The new CUSIP number for our common shares of beneficial interest is 81761L 201."
A CUSIP number is a nine-character code that uniquely identifies a specific U.S. or Canadian stock, bond, or other security, similar to a barcode or a social-security number for a financial instrument. It matters to investors because it removes confusion between similar securities, ensures trades and settlements are applied to the correct issue, and helps locate official documents and transaction records quickly.
