KIDZ AI Inc. (NASDAQ:KIDZ) said it will carry out a 1-for-10 reverse stock split, a corporate action that takes effect on June 8, 2026, at 12:01 a.m. Eastern Time. The company indicated the split is intended to bring its share price into compliance with the Nasdaq Capital Market minimum bid price requirement of $1.00.
The firm's Class B common stock is scheduled to continue trading on the Nasdaq Capital Market under the existing ticker "KIDZ," but on a split-adjusted basis when the market opens on the effective date.
In pre-market trading on the day of the announcement, the company's shares fell 29.3%.
Board approval and legal authority
The reverse split was approved by KIDZ AI's Board of Directors on May 26, 2026, and will be implemented in accordance with the Nevada Revised Statutes, the company said.
Share and authorization changes
- Authorized shares of Class A common stock will be reduced from 1,000,000 to 100,000 shares.
- Authorized shares of Class B common stock will be reduced from 40,000,000 to 4,000,000 shares.
- Outstanding shares of Class A common stock as of June 4, 2026, will be reduced from 130,701 to 13,071.
- Outstanding shares of Class B common stock will decrease from 11,134,459 to 1,113,446 shares.
Effects on equity compensation and convertible instruments
The company said the reverse split will proportionately reduce the number of shares authorized under its equity incentive plans. In addition, exercise prices and the number of shares subject to outstanding warrants will be adjusted, and conversion prices on convertible securities will be changed in line with the split ratio.
Fractional shares and CUSIP
KIDZ AI will not issue fractional shares as a result of the split; any fractional share resulting from the conversion will be rounded up to the nearest whole share. The new CUSIP number for Class B common stock following the reverse stock split is 182744 300.
Business description
KIDZ AI, formerly Classover Holdings Inc., provides K-12 AI education and AI infrastructure solutions.