Focus Universal Inc. (Nasdaq: FCUV), a provider of patented hardware and software design technologies for Internet of Things (IoT) and 5G, announced that its Board of Directors has approved a 1-for-10 reverse stock split of the Company's common stock. The decision, made by unanimous written consent on January 27, 2026, aims to consolidate the company's shares and potentially boost the stock price to meet Nasdaq's listing standards.
The reverse split will become effective at 12:01 a.m. Eastern Standard Time on February 9, 2026, and will be reflected in the marketplace at the open of business on that date. Following the split, Focus Universal's common stock will continue trading on the Nasdaq Capital Market under the symbol "FCUV" but with a new CUSIP number, 34417J 500. Every 10 existing shares will be combined into one share, reducing the outstanding share count from approximately 9,865,249 to around 986,524, subject to adjustments for fractional shares.
No fractional shares will be issued; instead, stockholders will receive a cash payment for any fractional interests. Proportional adjustments will also be made to the number of shares issuable upon exercise of equity awards, securities, and warrants, as well as their exercise prices. The company's transfer agent, VStock Transfer, LLC, will serve as exchange agent for the process.
For registered stockholders holding shares in book-entry form, no action is required, as their positions will be automatically adjusted. Similarly, those holding shares through brokerage accounts or in "street name" will have their holdings adjusted by their brokers. This reverse split is a strategic move often used by companies to increase their stock price to meet the minimum bid price requirement for continued listing on Nasdaq. Focus Universal's stock has faced challenges in maintaining the $1.00 minimum bid price, and this consolidation could help the company regain compliance.
Additional information about the reverse stock split is available in the company's 8-K filed with the Securities and Exchange Commission on February 5, 2026, a copy of which will be available at www.sec.gov. Focus Universal, headquartered in Ontario, California, specializes in IoT and 5G technologies, holding 26 patents and patents pending across five platforms. The company's technologies aim to reduce costs, development timelines, and energy usage while improving range, speed, and security. However, forward-looking statements in the release caution that actual results may differ due to market conditions and other risks.
