Cheetah Net Supply Chain Service Inc. Announces Major Corporate Actions: Reverse Stock Split, Amendment to Certificate of Incorporation, and Significant Share Issuance

Cheetah Net Supply Chain Service Inc. (NASDAQ: CTNT) has filed a Form 8-K with the U.S. Securities and Exchange Commission, disclosing several key corporate developments that shareholders and prospective investors should closely monitor. These changes have the potential to significantly impact the Company’s capital structure, governance, and share price.

Key Highlights

• Reverse Stock Split Approved: The Board of Directors and majority shareholders have approved and enacted amendments to the Certificate of Incorporation to enable one or more reverse stock splits of the Company’s common stock at a ratio of up to 1-for-500, at the Board’s discretion, within 12 months of shareholder approval.
• Amendment to Certificate of Incorporation: The Company has amended its Certificate of Incorporation, increasing authorized share capital and redefining share classes and voting rights.
• Significant Share Issuance: As of April 23, 2026, the Company had issued 355,000,000 new shares of Class A Common Stock through “at-the-market” transactions, increasing the outstanding shares of Class A Common Stock to 391,177,712 (pre-split basis).
• Emerging Growth Company Status: The Company confirms it qualifies as an emerging growth company under SEC definitions, which may affect reporting and compliance obligations.

Detailed Shareholder Information & Price-Sensitive Developments

1. Reverse Stock Split Authorization and Execution

On February 3, 2026, the Company’s Board of Directors approved, and majority shareholders (holding approximately 79.16% voting power) adopted, proposed amendments to authorize one or more reverse stock splits of the Company’s issued and outstanding shares of common stock, including both Class A and Class B shares. The split ratio(s) will be determined by the Board but will not exceed an aggregate of 1-for-500. The reverse stock split(s) may be executed at any time(s) within 12 months of shareholder approval, allowing the Board flexibility to respond to market conditions and compliance requirements.

The reverse split became effective on March 10, 2026, following the expiration of the 20-day notice period after the mailing of the definitive information statement to shareholders. The reverse split is intended to bring the share price in line with continued listing requirements or for other corporate objectives.

2. Amendment to Certificate of Incorporation

Article IV of the Company’s Certificate of Incorporation has been deleted and replaced. The new authorized share capital structure is as follows:

• Preferred Stock: 500,000 shares authorized, par value \$0.0001 per share. The Board is empowered to create series of preferred stock, with powers, preferences, and rights as determined by Board resolutions.
• Common Stock: 2,200,000,000 shares authorized, par value \$0.0001 per share, divided into:
  • Class A Common Stock: 2,000,000,000 shares authorized, each share carrying 1 vote.
  • Class B Common Stock: 200,000,000 shares authorized, each share carrying 15 votes.

This dual-class structure significantly impacts shareholder voting power, with Class B shares carrying much higher voting rights. This structure is often used to allow founders or major shareholders to retain control even if their economic ownership declines.

3. Material Modification to Rights of Security Holders

The reverse stock split and amendment to the Certificate of Incorporation also resulted in proportionate adjustments to the Company’s Amended and Restated 2024 Stock Incentive Plan. This affects the number of shares available for equity awards and the exercise price of outstanding awards. These changes could influence future dilution and the value of employee stock options.

4. Large-Scale Share Issuance

The Company has been actively raising capital. As of April 23, 2026, following recent at-the-market (ATM) equity sales under a March 31, 2026 Sales Agreement with AC Sunshine Securities LLC, the Company had 391,177,712 shares of Class A Common Stock outstanding (pre-split). This represents a massive increase in the Company’s outstanding share count and could materially impact existing shareholders through dilution.

5. Listing and Trading Information

The Company’s Class A Common Stock continues to trade on the Nasdaq Stock Market under the symbol CTNT.

6. Emerging Growth Company & Extended Transition Period

Cheetah Net Supply Chain Service Inc. is classified as an “emerging growth company” and has not elected to use the extended transition period for complying with new or revised accounting standards. This status can affect the Company’s regulatory reporting and may provide certain cost-saving exemptions, but also signals to investors that the Company is relatively early-stage.

Investor Takeaways and Potential Share Price Impact

• Reverse Stock Split may increase the share price by reducing the number of outstanding shares, but does not change the Company’s underlying value. However, the flexibility to execute up to a 1-for-500 split gives the Board significant discretion to act in response to market or compliance needs.
• Massive Share Issuance can significantly dilute existing shareholders, potentially pressuring the share price unless the new capital is deployed in a value-accretive manner.
• Dual-Class Structure means voting control is heavily concentrated among Class B holders even if they hold a minority of the economic interest. This may limit the influence of public shareholders over key corporate decisions.
• Amendments to the Stock Incentive Plan mean the reverse split will also affect employee and executive equity compensation, possibly impacting retention and incentive alignment.
• Investors should be aware that these corporate actions are material and could be price-sensitive, especially the share issuance and reverse split which could lead to volatility in the Company’s stock price.

Disclaimer: The information presented above is a summary and analysis of Cheetah Net Supply Chain Service Inc.’s recent SEC filing and is intended for informational purposes only. This article does not constitute investment advice, nor does it represent a recommendation to buy, hold, or sell any securities. Investors should conduct their own due diligence and consult a financial advisor before making any investment decisions. The author assumes no responsibility or liability for any errors or omissions in the content of this article, nor for any actions taken based on this information. All information is current as of the date of the filing and may be subject to change without notice.

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