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Dreamland Limited (TDIC) to implement 1-for-25 reverse stock split and cut share count

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

Rhea-AI Filing Summary

Dreamland Limited plans a 1-for-25 reverse stock split of its ordinary shares, approved by shareholders and the board, and expects it to become effective on June 15, 2026, with trading on a split-adjusted basis starting that day, subject to Nasdaq Operations notice requirements.

Immediately before the split, the company has 37,738,905 ordinary shares outstanding, consisting of 37,538,905 Class A shares and 200,000 Class B shares. After the split, this is expected to adjust to approximately 1,509,557 ordinary shares, made up of about 1,501,557 Class A shares and 8,000 Class B shares. Fractional shares will not be issued and will instead be rounded up to the nearest whole share.

The company is also reducing its authorized share capital on the same 1-for-25 ratio, keeping the total authorized capital at US$100,000 but changing from 2,000,000,000 shares at US$0.00005 par value to 80,000,000 shares at US$0.00125 par value, with separate Class A and Class B authorizations maintained. No other material changes to the terms of the securities are anticipated in connection with this action.

Positive

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Insights

Dreamland is consolidating its share count with a 1-for-25 reverse split.

Dreamland Limited is implementing a 1-for-25 reverse stock split, shrinking outstanding shares from 37.7 million to about 1.51 million. The stated goal in such actions is often to meet listing standards, and here it is tied to Nasdaq Operations notice requirements.

Authorized share capital remains US$100,000 but moves from 2.0 billion to 80.0 million shares by increasing par value to US$0.00125. Both Class A and Class B structures are preserved, with voting rights unchanged per share, so the move primarily affects share count and per-share metrics rather than governance terms.

Because fractional shares will be rounded up, some holders may see a small increase in whole shares relative to a pure mathematical division. Future company filings can provide more context on how the reverse split interacts with Nasdaq listing compliance and any subsequent capital-raising or corporate actions.

Reverse split ratio 1-for-25 Reverse stock split ratio approved and adopted
Pre-split outstanding shares 37,738,905 ordinary shares Issued and outstanding prior to effectiveness
Post-split expected shares Approximately 1,509,557 ordinary shares Expected issued and outstanding after split
Pre-split Class A shares 37,538,905 shares Class A ordinary shares before reverse split
Pre-split Class B shares 200,000 shares Class B ordinary shares before reverse split
Authorized capital total US$100,000 Total authorized share capital before and after change
Pre-split authorized shares 2,000,000,000 shares Authorized at US$0.00005 par value each
Post-split authorized shares 80,000,000 shares Authorized at US$0.00125 par value each
reverse stock split financial
"it expects to implement a 1-for-25 reverse stock split (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.
Class A ordinary shares financial
"37,538,905 Class A ordinary shares (par value US$0.00005 each, with 1 vote per share)"
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
"200,000 Class B ordinary shares (par value US$0.00005 each, with 12 votes per share)"
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.
authorized share capital financial
"to reduce the authorized share capital of the Company from US$100,000 divided into 2,000,000,000 shares"
The maximum number of shares a company is legally allowed to issue according to its governing documents. Think of it as the size of the blank checkbook a company keeps for selling ownership stakes: it sets an upper limit but does not mean all shares are in circulation. Investors care because a larger authorized amount makes it easier for the company to raise money or grant stock-based pay, which can dilute existing holdings and affect control and value per share.
par value financial
"shares with a par value of US$0.00125 each, comprising (a) 76,000,000 class A ordinary 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.
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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

UNDER

THE SECURITIES EXCHANGE ACT OF 1934

 

For the month of June 2026

 

Commission File Number: 001-42762

 

Dreamland Limited

(Exact name of registrant as specified in its charter)

 

Office No. 5, 17/F., PeakCastle

No. 476 Castle Peak Road, Cheung Sha Wan

Kowloon, Hong Kong

(Address of principal executive offices)

 

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

 

Form 20-F  
     
Form 40-F  

 

 

 

 

 

 

On June 5, 2026, Dreamland Limited (the “Company”) announced that it expects to implement a 1-for-25 reverse stock split (the “Reverse Stock Split”) as approved and authorized by a majority of the shareholders of the Company at an extraordinary meeting of shareholders held on April 1, 2026 and adopted by a written resolution of the board of directors of the Company dated May 8, 2026.

 

Proposed Timing of the Reverse Stock Split

 

Subject to the Company’s satisfaction of Nasdaq Operations notice requirements, the Company expects the Reverse Stock Split to become effective on June 15, 2026, with trading to begin on a split-adjusted basis at the market open on that day.

 

Pre-Reverse Stock Split Issued and Outstanding Share Capital

 

As of the date of this Report, and immediately prior to the effectiveness of the Reverse Stock Split, the Company’s total issued and outstanding share capital consists of 37,738,905 ordinary shares, comprised of:

 

  37,538,905 Class A ordinary shares (par value US$0.00005 each, with 1 vote per share); and
     
  200,000 Class B ordinary shares (par value US$0.00005 each, with 12 votes per share).

 

Post-Reverse Stock Split Issued and Outstanding Share Capital

 

Upon the effectiveness of the Reverse Stock Split, the Company’s issued and outstanding share capital is expected to be adjusted to approximately 1,509,557 ordinary shares, comprised of:

 

  Approximately 1,501,557 Class A ordinary shares (par value US$0.00125 each, with 1 vote per share); and
     
  Approximately 8,000 Class B ordinary shares (par value US$0.00125 each, with 12 votes per share).

 

No fractional shares will be issued in connection with the Reverse Stock Split. All fractional shares resulting from the Reverse Stock Split will be rounded up to the nearest whole share.

 

In connection with the Reverse Stock Split, the Company filed an excerpt of the written resolution of board of directors reflecting the relevant changes, with the Registry of Companies of the Cayman Islands on May 8, 2026 to reduce the authorized share capital of the Company from US$100,000 divided into 2,000,000,000 shares with a par value of US$0.00005 each, comprising (a) 1,900,000,000 class A ordinary shares with a par value of US$0.00005 each with 1 vote per share and (b) 100,000,000 class B ordinary shares with a par value of US$0.00005 each with 12 votes per share to US$100,000 divided into 80,000,000 shares with a par value of US$0.00125 each, comprising (a) 76,000,000 class A ordinary shares with a par value of US$0.00125 each with 1 vote per share and (b) 4,000,000 class B ordinary shares with a par value of US$0.00125 each with 12 votes per share, the reduction at the same ratio as its reduction in the issued and outstanding shares.

 

No other material changes to the terms of the Company’s securities are anticipated in connection with the Reverse Stock Split.

 

 

 

 

SIGNATURES

 

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 thereunto duly authorized, on June 5, 2026.

 

  Dreamland Limited
     
  By: /s/ Seto Wai Yue
  Name: Seto Wai Yue
  Title: Director and Chief Executive Officer

 

 

 

FAQ

What reverse stock split is Dreamland Limited (TDIC) implementing?

Dreamland Limited is implementing a 1-for-25 reverse stock split of its ordinary shares. This consolidates every 25 existing shares into one new share while keeping the overall capital structure and voting rights per share otherwise unchanged.

When will Dreamland Limited’s reverse stock split take effect?

The reverse stock split is expected to become effective on June 15, 2026. Trading in Dreamland Limited’s shares is expected to begin on a split-adjusted basis at the market open that day, subject to Nasdaq Operations notice requirements.

How will Dreamland Limited’s outstanding shares change after the reverse split?

Outstanding ordinary shares are expected to decrease from 37,738,905 to approximately 1,509,557. This includes about 1,501,557 Class A shares and 8,000 Class B shares, reflecting the 1-for-25 consolidation applied to each share class.

What happens to fractional shares in Dreamland Limited’s reverse split?

No fractional shares will be issued in the reverse stock split. Any fractional share positions created by the 1-for-25 ratio will be rounded up to the nearest whole share, slightly adjusting holdings for some shareholders.

How is Dreamland Limited changing its authorized share capital?

Authorized share capital stays at US$100,000 but shifts from 2,000,000,000 shares at US$0.00005 par value to 80,000,000 shares at US$0.00125 par value. Class A and Class B authorizations are adjusted proportionally with the same voting structure.

Are there other material changes to Dreamland Limited’s securities?

No other material changes to the terms of Dreamland Limited’s securities are anticipated in connection with the reverse stock split. The main effects are the reduced share count and higher par value per share, maintaining existing voting arrangements.