Summary of Announcement

Addentax Group Corp. (Nasdaq: ATXG) has announced a significant corporate action: a reverse stock split at a ratio of 1-for-15. This decision was approved by shareholders during the 2025 Annual Meeting held on January 30, 2026, and subsequently by the Board of Directors on March 19, 2026. The company filed a Certificate of Amendment with the State of Nevada to officially implement this split, which will become effective at 12:01 a.m. Eastern Time on March 30, 2026.

Key Points Investors Need to Know

• Reverse Stock Split Ratio: Every 15 shares of common stock outstanding prior to the effective time will be combined into one share of common stock.
• Par Value and Authorized Shares: There will be no change in the par value (\$0.001 per share) or the total number of authorized shares.
• Trading Details: Trading on the Nasdaq Capital Market will begin on a reverse stock split-adjusted basis under the same ticker symbol “ATXG,” but with a new CUSIP number (00653L400) starting March 30, 2026.
• Fractional Shares: No fractional shares will be issued. Instead, shareholders who would otherwise receive a fractional share will receive one whole share in lieu.
• Transfer Agent: Transfer Online, Inc. is acting as the exchange agent. Shareholders holding shares in book-entry form or “street name” (through brokers, banks, etc.) do not need to take any action.
• Impact on Shareholder Equity: The split will affect all shareholders uniformly, with no alteration to each shareholder’s percentage ownership, except for minor changes due to fractional share treatment.

Potential Price Sensitivity and Investor Impact

• Share Price Adjustment: Reverse stock splits typically result in a higher per-share price, though the total market capitalization remains unchanged. This can affect the liquidity and perception of the stock.
• Compliance with Nasdaq Requirements: Reverse splits are often undertaken to meet minimum price requirements for continued listing on Nasdaq. Investors should monitor whether this action is sufficient to stabilize or improve trading conditions.
• Fractional Share Handling: The company’s policy to round up fractional shares to whole shares may slightly increase the issued share count, but this is expected to have minimal impact.
• Forward-Looking Statements: The company cautions investors about forward-looking statements and highlights risks and uncertainties that could affect actual results. Investors are encouraged to review risk factors in the company’s SEC filings and remain aware that actual outcomes may differ materially from projections.

Company Background

Addentax Group Corp. is an integrated service provider specializing in garment manufacturing and logistics services. More information can be accessed via their website: https://www.addentax.com/.

Contact Information

• Company Contact: Public Relations, Addentax Group Corp., Phone: + (86) 755 86961 405, Email: [email protected]
• Investor Relations Contact: Sherry Zheng, Wavecrest Group Inc., Phone: 1-718-213-7386, Email: [email protected]

Disclaimer

This article contains forward-looking statements that are subject to risks and uncertainties. Actual results may differ materially from those projected herein. Investors should review the company’s filings with the SEC, particularly the “Risk Factors” section in its Annual Report on Form 10-K for the year ended March 31, 2025. This information is provided for informational purposes only and does not constitute investment advice. The company is not obligated to update or revise any forward-looking statements as a result of new information, future events, or otherwise.

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