Canaan Inc. Announces ADS Ratio Change to Meet Nasdaq Compliance
Canaan Inc. (NASDAQ: CAN) has announced a plan to change its American depositary shares (ADSs) ratio from 1:15 to 1:375, effective on or about December 4, 2026. This adjustment functions as a 1-for-25 reverse split of the ADSs, where holders will exchange every 25 existing ADSs for one new ADS. The primary objective of this ratio change is to enable the company to regain compliance with Nasdaq's minimum bid price requirement. While the trading price of the ADSs is expected to increase proportionately, the company noted it cannot guarantee the post-change price will meet or exceed 25 times the pre-change price. The move is intended to have no impact on the company's underlying Class A ordinary shares, business operations, or financial conditions. JPMorgan Chase Bank, N.A. will act as the depositary bank for the exchange process.