MicroAlgo Announces 30-for-1 Reverse Stock Split Ahead of July 2 Vote

MicroAlgo Inc. (MLGO), a developer of central algorithm solutions for digital industries, has unveiled plans for a 30-for-1 reverse stock split. The move, announced on June 13, precedes an Extraordinary General Meeting scheduled for July 2, 2025. Shares plummeted nearly 15% in pre-market trading following the disclosure.

The restructuring effort includes adjustments to share par value and a significant increase in authorized share capital. This marks the company's second reverse split in under a year, following a 20-for-1 consolidation in late 2024. Such repeated maneuvers underscore the firm's struggle to maintain Nasdaq listing compliance and preserve capital flexibility.

Post-split, MicroAlgo intends to drastically reduce share par value to $0.0000001 while expanding its authorized share pool. The strategy aims to streamline the capital structure, though market reaction suggests investor skepticism about the company's financial trajectory.