Yimutian Inc. Announces Plan to Implement Change in American Depositary Shares (ADS) to Ordinary Share Ratio
Rhea-AI Summary
Yimutian (NASDAQ: YMT) will change its ADS-to-Class A ratio from 1:25 to 1:375, effective on or around May 18, 2026, representing a 15-for-1 reverse split of ADSs.
JPMorgan Chase Bank will handle exchanges; no fractional ADSs will be issued and fractional entitlements will be aggregated and sold with net cash distributed to holders. The change does not alter underlying Class A share count; ADSs will continue trading under YMT. The company expects the ADS trading price to rise proportionately but gives no assurance it will equal or exceed 15x prior levels.
Positive
- Implements a 15-for-1 ADS reverse split effective ~May 18, 2026
- Depositary (JPMorgan Chase) will manage ADS exchange process
- Underlying Class A shares unchanged, avoiding share cancellation or issuance
Negative
- Potential reduced liquidity from fewer ADSs outstanding
- No guarantee ADS price will equal or exceed 15x pre-split level
- Fractional entitlements sold for cash after fees, reducing small-holder ADS share
News Market Reaction – YMT
In the Apr 29 session, YMT declined 10.79%, reflecting a significant negative market reaction. Argus tracked a trough of -23.7% from its starting point during tracking. Our momentum scanner triggered 6 alerts that day, indicating moderate trading interest and price volatility.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Apr 08 | Nasdaq bid-price notice | Negative | -2.8% | Nasdaq notified Yimutian of non-compliance with the $1.00 minimum bid rule. |
| Apr 07 | Operational performance update | Positive | -2.8% | Record harvests and expansion of AI-enabled farms showcased platform scalability. |
| Mar 31 | Network expansion launch | Positive | +3.8% | Opened first Wolaicai agricultural service station with strong initial order flow. |
| Mar 25 | Financing plan update | Negative | -35.8% | Detailed up to US$30M senior convertible notes and withdrawal of follow-on offering. |
| Mar 25 | Board resignation | Negative | -35.8% | Independent director Junchen Sun resigned from the Board for personal reasons. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Yimutian often declined on financing and compliance headlines, and even one strong operational update saw a negative reaction, indicating a cautious market stance toward the stock.
Over the last few months, Yimutian navigated listing-pressure and financing challenges alongside operational expansion. A March 31 launch of the Wolaicai service station network and a April 7 record-harvest update highlighted growth initiatives, yet one drew a negative price move. In contrast, a March 25 financing update involving senior convertible notes coincided with a -35.8% reaction. The recent April 8 Nasdaq minimum bid-price notice set the context for today’s ADS ratio change aimed at addressing compliance.
Key Terms
ads ratio change financial
reverse split financial
depositary bank financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
BEIJING, April 29, 2026 (GLOBE NEWSWIRE) -- Yimutian Inc. (NASDAQ: YMT) (“Yimutian” or the “Company”), a leading agricultural digital service company in China, today announced that it plans to change the ratio of its American Depositary Shares (“ADSs”) to its Class A ordinary shares (the “ADS Ratio Change”) from the current ratio of one ADS representing 25 Class A ordinary shares to 375 Class A ordinary shares, effective on or around May 18, 2026, U.S. Eastern time (the “Effective Date”).
For the Company’s ADS holders, the ADS Ratio Change will have the same effect as a 15-for-1 reverse split. Upon the Effective Date, ADS holders will be required to surrender and exchange every 15 existing ADSs then held for one new ADS. JPMorgan Chase Bank, N.A., as the depositary bank for the Company´s ADS program, will arrange for the exchange. The Company´s ADSs will continue to be traded on the Nasdaq under the ticker symbol “YMT.”
No fractional new ADSs will be issued in connection with the ADS Ratio Change. Instead, fractional entitlements to new ADSs will be aggregated and sold by the depositary bank and the net cash proceeds from the sale of the fractional ADS entitlements (after deduction of fees, taxes, and expenses, where applicable) will be distributed to the applicable ADS holders by the depositary bank. The ADS Ratio Change will have no impact on the Company´s underlying Class A ordinary shares, and no ordinary shares will be issued or cancelled in connection with the ADS Ratio Change.
As a result of the ADS Ratio Change, the ADS trading price is expected to increase proportionately upon the effectiveness of the ADS Ratio Change, although the Company can give no assurance that the ADS trading price after the ADS Ratio Change will be equal to or greater than 15 times the ADS trading price before the change.
About Yimutian Inc.
Yimutian Inc, is a leading agricultural B2B platform in mainland China. Over a decade, the company has been dedicated to digitalizing China’s agricultural product supply chain infrastructure to streamline the agricultural product transaction process, and making it efficient, transparent, secure, and convenient. For more information, please visit https://ir.ymt.com/
Forward-Looking Statements
This press release contains forward-looking statements. These statements are made pursuant to the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about the Company’s beliefs, plans, and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement. In some cases, these forward-looking statements can be identified by terminology such as “may,” “will,” “expect,” “anticipate,” “target,” “aim,” “estimate,” “intend,” “plan,” “believe,” “potential,” “continue,” “is/are likely to,” or other similar expressions. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the SEC. All information provided in this press release is as of the date of this press release, and the Company does not undertake any duty to update such information, except as required under applicable law.
Investor & Media Contacts
Investor Relations: ir@ymt360.com | +86 10 5708 6561
Media: pr@ymt360.com
