Singularity Future Technology Announces 1-for-14 Reverse Stock Split Effective July 27, 2026

Key Points

• Reverse Stock Split: Singularity Future Technology Ltd. (“the Company”) will effect a 1-for-14 reverse stock split of its issued and outstanding common stock, effective 12:01 a.m. Eastern Time on July 27, 2026.
• Shareholder Approval: The reverse split was approved at the Company’s Annual Meeting of Shareholders held on June 30, 2026, following a prior authorization to split at ratios of 1-for-5, 1-for-10, or 1-for-14 at the board’s discretion. The board selected the 1-for-14 ratio.
• Share Conversion: Every 14 shares of existing (old) common stock will be automatically consolidated into 1 new share of common stock. No fractional shares will be issued; fractional holdings will be rounded up to the nearest whole share.
• Trading Symbol and CUSIP: The Company’s shares will continue trading under the ticker SGLY on Nasdaq, but with a new CUSIP number: 82935V406.
• Share Certificates: Shareholders should not send in old share certificates. The Company’s transfer agent, Transhare Corporation, will notify shareholders about the process for exchanging certificates.
• Authorized Shares: The number of authorized common shares remains unchanged at 50,000,000,000 shares with no par value.
• Corporate Details: The amendment was adopted on July 7, 2026, and approved unanimously by the board and by the holders of the Company’s voting common stock, in accordance with Virginia law.

What Investors and Shareholders Need to Know

• This reverse split is a material event and may be price sensitive.
  • The reduction in the number of outstanding shares will increase the share price proportionally, but the overall market capitalization should remain the same (except for potential market reactions).
  • The reverse split may help the Company regain compliance with Nasdaq’s minimum bid price requirements, potentially preventing delisting.
  • Investors holding shares as of the effective date will find their share count reduced by a factor of 14, but their investment value (before market reaction) should remain nearly unchanged, except for the effect of rounding up fractional shares.
• Administrative Process:
  • Shareholders will receive instructions from Transhare Corporation about exchanging old certificates for new ones. There is no need for immediate action unless contacted by the transfer agent.
  • Fractional shares will not be issued; any fractional interest created by the split will be rounded up to the nearest whole share, which may slightly benefit shareholders with odd-lot holdings.
• Continued Listing:
  • The Company’s common stock will remain listed on Nasdaq under the symbol SGLY.
  • The new CUSIP number for the post-split shares is 82935V406.
• Corporate Governance:
  • This action was unanimously approved by both the board of directors and the shareholders, demonstrating strong support for the measure.

Potential Impact on Share Price

• Share Price Movement: Reverse splits are often viewed as a means to maintain exchange listing requirements, but can sometimes signal distress or strategic repositioning. Shares may experience increased volatility around the effective date.
• Market Capitalization: The reverse split itself does not change the Company’s market capitalization, but market perception of the split could lead to changes in share value.
• Liquidity: Lower outstanding share count can affect trading liquidity, which could increase bid-ask spreads and volatility post-split.

Summary Table

Conclusion

The reverse stock split by Singularity Future Technology is a significant corporate action that aligns with efforts to maintain Nasdaq listing standards and may affect share price and liquidity. All shareholders are advised to review future communications from the Company and its transfer agent for specific instructions on certificate exchange and to consider the potential implications for their investment.

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