#China #Nanjing #ADS Ratio #Scage Future #Nasdaq SCAG

Scage Future Announces Significant Changes to ADS Ratio

NANJING, China - Scage Future, a recognized leader in zero-emission heavy-duty commercial vehicles and e-fuel solutions, has revealed its intentions to modify the ratio of American Depositary Shares (ADS) to ordinary shares. The change, referred to as the ADS Ratio Change, will be implemented by adjusting the existing ratio from 1:1 to 1:15. This move is set to take effect around October 30, 2026.

What This Means for Investors

For those holding ADS, this modification will essentially function as a reverse ADS split of 1-for-15. This means that for every 15 ADS currently held, investors will receive one new ADS, starting from the Effective Date. This exchange will occur automatically, with existing ADS being canceled and replaced with new ones issued by Citibank, which acts as the depositary bank for the company’s ADS program. Investors will not need to engage in any action for this exchange to take place.

Additionally, it’s important to note that fractional new ADS will not be issued; instead, entitlements to fractional shares will be consolidated and sold by the Depositary Bank. The cash proceeds from these sales, after deductions, will be distributed to ADS holders accordingly.

One of the key aspects of this ADS Ratio Change is that it will not have any effect on Scage Future’s ordinary shares, meaning no ordinary shares will be created or canceled as a result of this adjustment. After the changes, Scage Future’s ADS will continue to trade on the Nasdaq Capital Market under the existing ticker symbol 'SCAG.' Moreover, along with the change in the ADS ratio, the CUSIP number associated with the ADSs will also be updated, with the new number to be disclosed later.

Scage Future anticipates that this ratio alteration will lead to a proportional increase in the ADS trading price. However, the company cannot guarantee that the new trading price will be equal to or exceed fifteen times the price prior to the change. This uncertainty continues to highlight the volatile nature of stock trading and the influence of market conditions.

About Scage Future

Scage Future is at the forefront of zero-emission technology in China, aiming to revolutionize global commercial transportation. They specialize in a wide array of advanced heavy-duty new energy vehicles (NEVs) as well as innovative e-fuel systems. Through collaborations with leading vehicle manufacturers and a strict quality control framework, Scage Future delivers high-performance NEVs that meet various logistics, mining, and port operation needs. Their product lineup features groundbreaking models such as the Dragon II plug-in hybrid dump truck, Galaxy II plug-in hybrid truck, and Q-Truck autonomous tractor-trailer, demonstrating their commitment to sustainability and innovation.

As the company prepares for these significant changes to the ADS ratios, many investors are focusing on the potential financial implications and future ventures of Scage Future, especially in a landscape where the demand for eco-friendly technologies is rapidly increasing.

The Future Ahead

The announcement of this ADS Ratio Change underlines Scage Future's strategic efforts to adapt to the evolving market landscape while continuing to advance their mission of decarbonizing commercial transport. As stakeholders await the October 30 effective date, one can expect ongoing analysis and speculation regarding how this industry leader will navigate the complexities of financial markets while enhancing its role in sustainable transportation solutions.

As with any investment decision, potential investors are encouraged to review Scage Future's financial health, market position, and growth strategies. Furthermore, this forward-looking statement portrays the company's willingness to adjust its structure in response to market needs, affirming their adaptability in today's competitive environment.